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1984: the Dow story

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  • Second, after the event occurred, again big mistakes were made. The Bhopal Gas Leak Act of 1985 ensured that individual action against UC was not possible and only the Central government could deal with the matter. This could have been a positive development, had it the ability to fight adequately for compensation/relief and provide it. That ability, and perhaps even intention, was missing. Under the aegis of a Supreme Court judgment, it gave up all claims (civil and criminal) in return for $470 million in 1989. Later, in 2001, the Court re-introduced the possibility of criminal claims.

    Most, including this writer, believe the 1989 decision of the Centre was stupid. For one, the $470 million figure was derived on the basis of a head count of those who would suffer adverse health consequences of the leak. The problem is, no one can adequately predict them. It is extremely difficult to differentiate a particular ill-health episode caused by the leak, catalysed by it, or totally independent of it. And this is more so in the case of a chemical that has multiple ill-health outcomes. Consequently, one cannot provide either health care or compensation relief to the identified few, but to all who exhibit such symptoms.

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    The costs of care and compensation were therefore going to be far higher than what calculations based on increased probability of ill-health will yield. We would have to provide relief to all who claim, not just a few who we can tangibly prove have been directly affected. Indeed this is a problem being faced today. There are many who have made claims but not received relief, even while there are large amounts lying unutilised.

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