Emission scandal: Volkswagen asked to deposit ₹500 crore with pollution control board

The case relates to health damage caused by excess emissions of pollutants and emissions violations

(FILES) In this file photo taken on November 9, 2015 Greenpeace activists demonstrate at the entrance to the Volkswagen (VW) plant in Wolfsburg, central Germany. - Volkswagen will on November 1, 2018 get a taste of the anger felt by duped diesel drivers on its home turf when consumer groups file Germany's first class-action suit over the carmaker's emissions cheating scam. The legal action has been made possible by new legislation taking effect on November 1 that was hurried through specifically to beat a year-end statute of limitations for claims against VW. (Photo by John MACDOUGALL / AFP)

The National Green Tribunal on Thursday directed Volkswagen India to deposit a sum of ₹500 crore with the Central Pollution Control Board (CPCB) within two months.

A bench headed by NGT Chairperson Justice Adarsh Kumar Goel enhanced the compensation amount of ₹171 crore, which was recommended by a NGT- appointed committee, as a means of “creating deterrence.”

The company however, contended that prescribed norms under the BS-IV were not violated and that the test results were based on, “on road testings” for which there were no prescribed norms.

However, the bench said, “Sustainable development is the main guiding factor...we are unable to accept the manufacturer’s objections to the report.”

The bench further said that the apex pollution monitoring body may consider utilising the money towards improving air quality in the National Capital Region and other highly polluted areas.

In January, the green panel had directed Volkswagen to deposit a sum of ₹100 crore as interim compensation.

The directions came when the NGT was hearing a plea that sought a ban on Volkswagen for alleged violation of emission norms.