SC vacates stay on Adani SEZ in Gujarat

09 July 2008

Mumbai: The Supreme Court has vacated a stay on the work at Adani Group's Rs7,400-crore multi-product special economic zone in Gujarat, allowing the group to restart work.

A bench headed by Chief Justice K G Balakrishnan, while dismissing the petition by a group of fishermen as withdrawn, asked the Adani Group not to fill the creeks.

Acting on a petition by fishermen that the project would affect their livelihood and flora and fauna in the region, the Supreme Court had, last week, directed the Adani Group to maintain status quo with regard to all activities taking place on the land.

The apex court had also issued notices to the union ministries of commerce, environment and forests, the Gujarat government, Mundra Ports and SEZ and the Adani Group.

Appearing for Adani Group, counsels Harish Salve and Ankur Chawla argued that the allegations against the SEZ were baseless and aimed at pressuring the group for illegal gains. The company had not indulged in land grabbing but had acquired the land strictly in accordance with law after giving a public hearing and paying compensation and premium for rehabilitation, they argued.

Since the petition stands dismissed and withdrawn at the SC, a petition pending with the Gujarat high court is also expected to be dismissed.