Section 16 of EPA : Section 16: Offences By Companies

Explanation using Example

Imagine a scenario where XYZ Paints Ltd., a company manufacturing industrial paints, disposes of its chemical waste into a nearby river, which is a clear violation of the Environment (Protection) Act. The pollution caused by the waste leads to significant environmental damage and the company is charged with an offence under the Act.

In court, it is established that Mr. Green, the Production Manager, was directly in charge of the waste disposal process. As per Section 16(1) of the Environment (Protection) Act, 1986, Mr. Green, along with XYZ Paints Ltd., is held responsible for the offence. However, Mr. Green claims that he had no knowledge of the illegal disposal as the staff under him managed the process and that he had established all necessary checks and balances to prevent such an offence.

If Mr. Green can prove that he indeed had no knowledge of the offence and that he exercised due diligence to prevent it, he may not be held liable for punishment under the Act, as per the proviso to Section 16(1).

Conversely, if it is discovered that the offence occurred with the knowledge or negligence of the company's CEO, Ms. Blue, Section 16(2) would imply that she could be deemed guilty for her role in the offence, alongside the company, and could face legal consequences.