Volkswagen Emissions: Supreme Court issues notice in challenge to NGT 500 crore fine order

The Supreme Court today issued notice in a petition filed by Volkswagen challenging the Rs 500 crore fine imposed on it by the National Green Tribunal (NGT)..The German automobile giant had approached the Supreme Court after the NGT Bench of Chairperson Justice AK Goel imposed the fine in March this year. Volkswagen was found to be guilty of causing damage to the environment as a consequence of using cheat devices in its Diesel cars..Senior Counsel Abhishek Manu Singhvi, representing Volkswagen, today told the Supreme Court Bench of Justices SA Bobde and S Abdul Nazeer that the NGT has increased the fine on the company from Rs 100 crore to Rs 500 crore..The NGT had initially slapped a fine of Rs 100 crore on the company. This order was challenged before the Supreme Court in January 2019. The Court later remanded the matter to the NGT after pointing out four errors. In March this year, the NGT increased the fine to Rs 500 crore..Singhvi argued that the NGT did not consider its own committee report, which had found no violations on Volkswagen’s part. Further, he averred that many other manufacturers indulge in much greater violations..The Court today issued notice in the case and directed that no coercive steps be taken against Volkswagen..The matter stems from the 2015 emission scandal, where Volkswagen was found to have used ‘cheat devices’ in its vehicles which allowed the emission of the polluting Nitrogen Oxide well over the prescribed pollution emission standards..The same year, the Automotive Research Association of India (ARAI) found that in India, the tested Volkswagen vehicles emitted pollutants five to nine times in excess of the permitted levels..Subsequently, the NGT was approached by various private petitioners to ban vehicles by the German manufacturer, in view of its alleged violation of pollution control norms. A committee appointed by the NGT had recommended a penalty of Rs 171.34 crore on Volkswagen for causing air pollution in Delhi due to excess Nitrogen Oxide emissions..The Volkswagen Group Companies were represented by Senior Counsel Abhishek Manu Singhvi with Advocates Bishwajit Dubey and Surabhi Khattar from Cyril Amarchand Mangaldas..Read the Order:.Bar & Bench is available on WhatsApp. For real-time updates on stories, click here to subscribe to our WhatsApp.