UNION CARBIDE CORPORATION LIMITED Vs. UNION OF INDIA
LAWS(SC)-1993-12-16
SUPREME COURT OF INDIA
Decided on December 10,1993

Union Carbide Corporation Limited Appellant
VERSUS
UNION OF INDIA Respondents

JUDGEMENT

- (1.) By these applications, the Union of India further seeks directions of the court for the implementation of certain directions issued in the course of the Review Order dated 3/10/1991 arising out of the court-assistedsettlement in what is known as the Bhopal gas leak disaster case. Civil Suit No. 1113 of 1986 on the file of the court of the District Judge at Bhopal, in this behalf, was withdrawn to this court for purposes of disposal in terms of the settlement arrived at between Union of India and the Union Carbide Corporation ('ucc' for short).
(2.) We have heard Shri V. R. Reddy, learned Additional Solicitor General, in support of these applications, and Shri F. S. Nariman, learned Senior Counsel, for the UCC. We have also had the benefit of the views expressed by Rt. Hon. Sir lan Percival, the sole trustee of the Bhopal Gas Hospital Trust, who was present in court. Shri Shanti Bhushan, learned Senior Counsel, who appeared for the victims' organisation of Bhopal, supported the view put forward by Shri Nariman and Rt. Hon. Sir lan Percival.
(3.) The particular directions in the review order, in the context and implementation of which these applications are made, at paras 203, 204 and 214 (c) are in terms following : "203.. . We are of the view that for at least a period of eight years from now the population of Bhopal exposed to the hazards of MIC toxicity should have provision for medical surveillance by periodic medical check-up for gas related affliction. This shall have to be ensured by setting up long-term medical facilities in the form of a permanent specialised medical and research establishment with the best of expertise. An appropriate action-plan should be drawn up. It will be proper that expert medical facility in the form of the establishment of a full-fledged hospital of at least 500 bed strength with the best of equipment for treatment of MIC related affliction should be provided for medical surveillance and for expert medical treatment. The State of Madhya Pradesh shall provide suitable land free of cost. The allocation of the land shall be made within two months and the hospital shall be constructed, equipped and made functional within 18 months. It shall be equipped as a Specialist Hospital for treatment and research of MIC related afflictions and for medical surveillance of the exposed population. We hold that the capital outlays on the hospital and its operational expenses for providing free treatment and services to the victims should, both on humanitarian considerations and in fulfilment of the offer made before the Bhopal court, be borne by the UCC and UCIL. We are conscious that it is not part of the function of this court to reshape the settlement or restructure its terms. This aspect of the further liability is also not a matter on which the UCC and the UCIL had an opportunity to express their views. However, from the tenor of the written submissions made before the District court at Bhopal in response to the proposal of the court for 'reconciliatory substantial interim relief to the gas victims, both the UCC and UCIL had offered to fund and provide a hospital for the gas victims. The UCC had recalled that in January 1986, it had offered 'to fund the construction of hospital for the treatment of gas victims the amount being contributed by the UCC and the UCIL in equal proportions'. Shri Nariman had also referred to this offer during the submissions in the context of the bona fides of the UCC in that behalf. It is, no doubt, true that the offer was made in a different context and before an overall settlement. But that should not detract the UCC and the UCIL from fulfilling these obligations as, 330 indeed, the moral sensibilities to the immense need for relief in all forms and ways should make both the UCC and UCIL forthcoming in this behalf. Such a hospital should be fully equipped hospital with provision for maintenance for a period of eight years which in our estimate might together involve the financial outlay of around Rs. 50. 00 crores. We hope and trust that UCC and UCIL will not be found wanting in this behalf. 214. We might now sum up the conclusions reached, the findings recorded and directions issued. . (E) On humanitarian considerations and in fulfilment of the offer made earlier, the UCC and UCIL should agree to bear the financial burden for the establishment and equipment of a hospital, and its operational expenses for period of eight years. ";


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