Union Carbide Corporation Limited v. Union of India
1996-02-06
A.M.AHMADI, K.VENKATASWAMI, V.MANOHAR
body1996
DigiLaw.ai
JUDGMENT : 1. We had by our order dated 1st December, 1995 desired to ascertain from the UCC its response for meeting the additional expense for the construction of the Hospital on humanitarian considerations which was the basis for the initial order of 3rd October, 1991. It was in pursuance to that order that the UCC and UCIL had set up a Trust with Sir Ian Percival as the Sole Trustee. On 1st December, 1995 when we passed the interim order we were informed that the funds in the hands of the sole Trustee would suffice to construct a 260-bed Hospital, but were not sufficient to construct 500-bed Hospital with supporting infrastructure as envisaged by the order of 3rd October, 1991. It was for this reason that we desired to know if UCC would provide the extra funding on humanitarian considerations. Mr. Dadachanji, the learned counsel for the UCC, has placed on record a fax message dated 31.1.1996 received from UCC, which purports to say that on its fulfilling the recommendation in the order of the 3rd October, 1991 the proceedings terminated and its role in respect of payment for the Hospital stood completed. It is further stated that whether this Court accepts or rejects the Trustee's request in respect of the proceeds for the sale of shares, the subject matter of the attachment order of the Bhopal Court, is a matter for the Trustee and the Court and not the concern of the UCC. In view of this statement, it becomes clear that the UCC is not willing to provide any further funds for the hospital. However, Mr. Dadachanji, the learned counsel for the UCC, stated that in the event the attached sale proceeds are released by. the Court at any point of time, the UCC will have no objection to the utilisation of those funds in the construction of the hospital, keeping in view the humanitarian consideration. The question is whether further funds should be released from the attached sale proceeds and if so to what extent.
the Court at any point of time, the UCC will have no objection to the utilisation of those funds in the construction of the hospital, keeping in view the humanitarian consideration. The question is whether further funds should be released from the attached sale proceeds and if so to what extent. In the course of the submissions before us, it became clear that the construction and completion of the hospital envisaged by the order of 3rd October, 1991 without loss of time should be the concern of all parties to the proceedings for the simple and obvious reason that the large number of persons affected by the gasl'eak must receive proper treatment as the after effects may manifest themselves at intervals. There was, therefore, a consensus of opinion that whatever is required to ensure the construction of the hospital without loss of time should be done. As far as the attachment is concerned, it is to enforce the presence of the UCC as well as its the then Chairman Mr. Anderson. Two situations can develop, namely, the attached amount may be confiscated or may be released. In the first case, if the amount is confiscated it would be available as provided by Section 85 of the Code of Criminal Procedure and if it is released on the statement made by Mr. Dadachanji it would"be available for the construction of the hospital. What is of paramount importance is for all to realise that in the interest of those affected the hospital should come up as early as possible because sufficient time has already been lost. However, before we pass final orders in this behalf, we would like the Empowered Committee to express its views on the proposal put forward by the sole Trustee Lvt contains two alternatives, namely, Cor add to the 260-bed Hospital already SP(construction so as to make it a 500- Bisl. bed Hospital with a 30-bed Cardio thoracic Surgery Department at an estimated additional cost of Rs. 121.40 crores or to construct a 260-bed Hospital with a Cardio thoracic Surgery Department having 30 beds at an estimated additional cost of Rs. 61.7 crores and set up a separate Research-cum-teaching Unit at an estimated cost of Rs. 20.4 crores and Mini units at different selected locations depending on the number of affected people living in and around those locations at an estimated cost of Rs. 10.5 crores per unit.
61.7 crores and set up a separate Research-cum-teaching Unit at an estimated cost of Rs. 20.4 crores and Mini units at different selected locations depending on the number of affected people living in and around those locations at an estimated cost of Rs. 10.5 crores per unit. The total number of units would have to be determined after the area is surveyed. This would entail an additional cost of Rs. 61.7 + 20.4 + 10.5 x number of Units and the total cost may exceed Rs. 121.40 crores, which is estimated to be the excess cost for the construction of a 500-bed Hospital. Now before this Court takes a final decision in the matter it would like the Empowered Committee to apply its mind to these estimates prepared on the basis of the Hospital Services Consultancy Corporation (HSCC) and express its views in the matter. We would also like the Empowered Committee to consider the question of entrustment of the Hospital - whether it should be entrusted to an Autonomous Body or to the State Government - so that this Court may be able to pass a comprehensive order and give such directions as may be thought necessary. 2. We, therefore, adjourn the matter by two weeks to enable the Empowered Committee to make positive concrete proposals to those put forth by the sole Trustee before this Court. The learned Additional Solicitor General will convey the same to the Empowered Committee. A copy of this order may be given to the learned Additional Solicitor General by tomorrow.