Shares of Vedanta Group firm Sterlite Industries on Tuesday gained nearly 5 per cent after the Supreme Court refused to direct closure of the company’s copper smelting plant in Tamil Nadu.
The apex court, however, asked Sterlite to pay Rs 100 crore as compensation for polluting environment through the plant.
The company’s scrip ended at Rs 93.10, up 3.79 per cent from its previous close on the BSE. During the day, the stock jumped 4.45 per cent to Rs 93.70. At NSE, Sterlite Industries scrip rose by 4.64 per cent to Rs 93.65.
A bench headed by Justice A.K. Patnaik said the environment has been polluted for a long time due to discharge from the plant and it has to pay compensation.
The court, however, refused to direct closure of the plant and set aside the Madras High Court’s 2010 order on closing it down.
“Despite the squashing of the lower court order, the closure order issued by the Pollution Control Board in March still stands,” said a note by India Infoline Ltd (IIFL).
Sterlite Industries welcomed the Supreme Court verdict.
“We welcome the judgement given by the Supreme Court,” Sterlite Industries said after the judgement.
It also said: “Sterlite Industries would continue to work in close association with the state government of Tamil Nadu and other regulatory bodies, towards maintaining highest standards of health, safety and environment.”
In the stock market, the BSE benchmark Sensex ended at 19,040.95, up 176.20 points.
