Case: Member-Secretary, Andhra Pradesh Stateboard For Prevention Vs. Andhra Pradesh Rayons Ltd. &amp; Ors

realise money from those whose activities lead to pollution and who must bear the expenses of the maintenance and running of the State Board. It is a fiscal provision and must, therefore, not only be literally construed but also be strictly construed. Having regard to the literal expression used and bearing in mind the purpose for the legislation, we arrive at a result that certain industries have to pay the expenses of the maintenance and functioning of the State boards Considering the principle broadly and in common sense point of view, we find nothing to warrant the conclusion that rayon grade pulp is included in either of the industries as canvassed on behalf of the petitioner here and as held by the High Court in the judgment under appeal. 13. In this case, we must also note that neither the Water Pollution Board nor any authorities under the Act nor the High Court proceeded on any evidence how these expressions are used in the particular industry or understood in the trade generally. In other words, no principle of understanding in "common parlance" is involved in the instant case. 14. In that view of the matter, we are of the opinion that the contention sought for by the petitioner is of no substance. 15. Our attention, however, was drawn to the decision of a learned Single Judge of the High Court of Kerala in M/s. Gwalior Rayon Silk Mfg. (Wvg.) Co. Ltd., Mavoor v. Appellate Committee for Water Cess, Trivandrum (AIR 1983 Ker 110 : ILR (1983) 2 Ker 224). There, the learned Single Judge of the Kerala High Court held that industry manufacturing rayon grade pulp is chemical industry. The High Court has observed that the product of the Pulp Division of a rayon silk manufacturing company is rayon grade pulp, extracted from bamboo or wood. The High Court noted that the Pulp produced in the Pulp Division of the company is the raw material for the Staple Fibre Division. The High court further observed that the pulp in question is a chemical used as chemical raw material, in the form known as chemical cellulose, for preparation of fibres. The High Court noted that for the scientist cellulose is a carbohydrate an organic compound, a saccharide and for the layman also it is a chemical like salt and sugar. Manufacture of pulp from wood or bamboo involves consumption of large quantities of water which get polluted in the process; and "chemical industry" in the context in which it is used in Schedule I of the Act, can therefore, include an industry manufacturing rayon grade pulp. We are unable, with respect, to accept the circuitous process of reasoning of the Kerala High Court. As mentioned hereinbefore, looked at from this circuitous method every industry would be chemical industry. It could not have been the intention to include all industries because every industry has to go to certain chemical process more or less and, therefore, it could not be so construed. Such expression should, therefore, be construed reasonably, strictly and from a commonsense point of view. The High Court of Kerala has set out in the said judgment the companys case in that case which also produced rayon grade pulp and there manufacturing process consisted only of isolating cellulose present in bamboo and wood by removal of "lignin" and other contents, and that the resultant product is not chemical cellulose. It explained the process as underThe actual process of manufacture of rayon grade pulp is by feeding the raw materials on the conveyors leading to the chippers, where they are chipped into small pieces in uniform sizes. The raw materials are washed by a continuous stream of water before they are fed into chippers for removal of their adhering mud and dirt. The chips are then conveyed into digesters, where they are subjected to acid pre-hydrolysis, using dilute sulphuric acid solution. The spent liquor is then drained out, and the chips washed to remove the acid. The chips are again cooked using a solution containing cooking chemicals at high temperature of above 160 degree C. After the chips are thus cooked the pressure is released and the material is collected in a blow tank, from where the chipped pulp is sent to "Knotter Screen" for removal of uncooked particles. The pulp is washed in a series of washers in a counter-current manner. The washed pulp is bleached in a multi-staged bleaching plant, and converted into sheets in a continuous machine. The pulp sheets so obtained are sent to other factories for their conversion into staple Fibre. 16. The said High Court also relied on a passage from the "Book of Popular Science" Grolier, 1969, Vol. 7, p. 55 which reads as follows: "Just what is a chemical, after all ? Presumably it is a pure chemical substance (an element or compound) and not a mixture. Thus sulphuric acid is a chemical ..... But common salt and sugar, with which all of us are familiar, are also pure chemical substances ..... The truly chemical industries, which manufacture chemicals, are seldom well known to the public. This is because we, as consumers, do not ordinarily make use of Chemicals in their pure form. Instead they are converted into products that reach the consumer only after a number of operations." 17. As mentioned hereinbefore, the expression should be understood not in technical sense but from broad commonsense point of view to find out what it truly means by those who deal with them. Bearing the aforesaid perspective in mind, we are unable to agree with the view of the Kerala High Court Expressed in the aforesaid judgment. In that conspectus of the Kerala High Court everything would be included in the process of chemical. 18. In the aforesaid view of the matter we are of the opinion that the High Court of Andhra Pradesh in the impugned judgment was right and the High Court of Kerala in the judgment referred to hereinbefore was not right.

Court's decision (1 = petition accepted / positive for appellant, 0 = rejected / negative): 0

Reasoning from the judgment:
0[ds]It is the propriety; or the correctness of that decision which is sought to be canvassed before us by this petition. It must therefore, be made clear that we are not concerned with the correctness or otherwise of the decision of the High Court about the constitutional validity of the Act in question. That is not at issue before us since the petitioner, Andhra Pradesh State Board for Prevention and Control of Water Pollution has not challenged that finding. The only question is whether the respondent is an industry as mentioned in the aforesaid Schedule. The High Court in take impugned judgment has held that rayon grade pulp is not covered by any of the items specified in the said Schedule. We are of the opinion that the High Court was right.We fail to see that rayon grade pulp could be considered even remotely connected as such with chemical industry or textile industry or paper industry. In all preparations, there is certain chemical process but that does not make all industries chemical industries.Bearing the aforesaid principle in mind, we find that there is no absurdity in the literal meaning. The purpose of the Act is to realise money from those whose activities lead to pollution and who must bear the expenses of the maintenance and running of the State Board. It is a fiscal provision and must, therefore, not only be literally construed but also be strictly construed. Having regard to the literal expression used and bearing in mind the purpose for the legislation, we arrive at a result that certain industries have to pay the expenses of the maintenance and functioning of the State boards Considering the principle broadly and in common sense point of view, we find nothing to warrant the conclusion that rayon grade pulp is included in either of the industries as canvassed on behalf of the petitioner here and as held by the High Court in the judgment underIn this case, we must also note that neither the Water Pollution Board nor any authorities under the Act nor the High Court proceeded on any evidence how these expressions are used in the particular industry or understood in the trade generally. In other words, no principle of understanding in "common parlance" is involved in the instantIn that view of the matter, we are of the opinion that the contention sought for by the petitioner is of noOur attention, however, was drawn to the decision of a learned Single Judge of the High Court of Kerala in M/s. Gwalior Rayon Silk Mfg. (Wvg.) Co. Ltd., Mavoor v. Appellate Committee for Water Cess, Trivandrum (AIR 1983 Ker 110 : ILR (1983) 2 Ker 224).The said High Court also relied on a passage from the "Book of Popular Science" Grolier, 1969, Vol. 7, p. 55 which reads aswhat is a chemical, after all ? Presumably it is a pure chemical substance (an element or compound) and not a mixture. Thus sulphuric acid is a chemical ..... But common salt and sugar, with which all of us are familiar, are also pure chemical substances ..... The truly chemical industries, which manufacture chemicals, are seldom well known to the public. This is because we, as consumers, do not ordinarily make use of Chemicals in their pure form. Instead they are converted into products that reach the consumer only after a number ofAs mentioned hereinbefore, the expression should be understood not in technical sense but from broad commonsense point of view to find out what it truly means by those who deal with them. Bearing the aforesaid perspective in mind, we are unable to agree with the view of the Kerala High Court Expressed in the aforesaid judgment. In that conspectus of the Kerala High Court everything would be included in the process ofIn the aforesaid view of the matter we are of the opinion that the High Court of Andhra Pradesh in the impugned judgment was right and the High Court of Kerala in the judgment referred to hereinbefore was not right