India: Ramky-03/Gummidipoondi

Date Filed
19 Oct 2007
Status
Closed
Phase
Compliance
Country
India

Case Tracker

Eligibility
Eligibility
Assessment
Transferred
Assessment
Dispute Resolution
Compliance
Appraisal
Closed
CURRENT Status
Appraisal (COMPLIANCE)
Closed

Complaint Overview

Complainant

Gummidipoondi village and Corporate Accountability Desk

Cross-Cutting Issues
Risk Management Community Health and Safety Climate Change Impacts Women

Project Information

Region
South Asia
Institution
IFC
Name & Number
Ramky Infrastructure 23966
Company
Ramky Infrastructure Ltd.
Sector
Infrastructure
Department
Infrastructure
Category
B
Commitment

$3 million (Equity)

Synopsis

Complaint

In August and September 2005, CAO received two complaints (Ramky-01 and Ramky-02) which were subsequently deemed not eligible for assessment. However, in October 2007 a group of residents from the Gummidipoondi village and Corporate Accountability Desk, a non-governmental organization, lodged a third complaint (Ramky-03) with CAO. The complainants asserted that the project violated municipal laws and IFC regulations as a result of the following:

1. Statutory permission had not been granted to the company by the local community to proceed with the project; and

2. The submission of an incomplete Environmental and Social Impact Assessment (EIA) caused the environmental permitting process to be flawed.

Action

The complaint related to an integrated hazardous waste treatment facility operated by the Ramky Group in the State Industries Promotion Corporation of Tamil Nadu (SIPCOT) Industrial Area near Gummidipoondi village. The purpose of this project was to design, build and operate hazardous municipal waste facilities at various locations around India. In March 2008, CAO concluded that the complaint was not amenable to resolution through a negotiated process. As such, CAO compliance conducted an appraisal for audit of the project to determine whether the case merited an audit of IFC.

Status

The Appraisal Report for Audit, completed in June 2008, highlighted that a modification to IFC’s proposed commitment with the client resulted in the investment shifting to engineering, procurement and construction signifying no further affiliation with hazardous or municipal waste management. This raised the issue of non-deliverance of promised development outcomes, however IFC was no longer linked to the site near Gummidipoondi. Accordingly, CAO concluded that the complaint did not merit an audit of IFC and closed the case in June 2008.

Case Documents

  • Dispute Resolution

    Assessment Report(s)
    Assessment Report Regarding IFC's
    Jul 01, 2008
    English
    Assessment Report Regarding IFC's
    Assessment Report Regarding IFC's
    Jul 01, 2008
    Hindi
    Assessment Report Regarding IFC's
  • Appraisal Report(s)
    CAO Appraisal Report for Audit of IFC
    Jun 16, 2008
    English
    CAO Appraisal Report for Audit of IFC
    CAO Appraisal Report for Audit of IFC
    Jun 16, 2008
    Hindi
    CAO Appraisal Report for Audit of IFC
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