SC Quashes NGT Finding, Orders ₹5 Crore Refund to Art of Living

The Supreme Court on Saturday set aside the 2017 order of the National Green Tribunal (NGT) holding Sri Sri Ravi Shankar’s Art of Living Foundation responsible for damage to the Yamuna floodplains during its 2016 World Culture Festival. A Bench of Justice Satish Chandra Sharma and Justice N K Singh directed the Delhi Development Authority (DDA) to refund the ₹5 crore environmental compensation deposited by Vyakti Vikas Kendra India, an organisation associated with the foundation.

The ruling came on an appeal filed by Vyakti Vikas Kendra India, bringing relief to the organisation after nearly a decade of legal proceedings. The three-day World Culture Festival was held on the Yamuna floodplain from March 11 to 13, 2016, and attracted an estimated 35 lakh people, including thousands of international visitors.

The controversy arose after environmental activists challenged the event, alleging that preparations and construction had damaged the ecologically sensitive floodplain. The NGT had allowed the festival to proceed after directing the organisers to deposit ₹5 crore as environmental compensation. An expert committee subsequently examined the site and reported concerns including changes in topography, loss of vegetation and wetlands, and ecological and biodiversity impacts.

In its December 2017 ruling, the NGT held the Art of Living responsible for the damage and directed that the ₹5 crore already deposited be used by the DDA for floodplain restoration. The foundation disputed the findings, maintaining that the festival had not caused lasting or tangible damage.

The Supreme Court has now overturned the NGT's finding, holding that the evidence did not establish a direct causal link between the festival and the alleged environmental damage. Consequently, the DDA has been ordered to return the ₹5 crore.

However, the court has kept the focus on environmental restoration, directing the DDA to continue rehabilitation of the Yamuna floodplains as previously ordered by the NGT.

The case remains significant for the wider debate over environmental accountability and protection of river floodplains, which play an important role in flood management, groundwater recharge, wetlands and biodiversity. The ruling provides legal relief to the Art of Living-linked organisation while reaffirming the continuing responsibility of authorities to protect and restore the Yamuna floodplain.