Dutch NGO sues Tata Steel, seeks €1.4 billion in damages

Mumbai: A Dutch non-profit organisation has taken Tata Steel to court, alleging that operations at its plant at IJmuiden in the Netherlands have harmed the environment and the health of local residents, and demanding ₹1.4 billion in compensation.

Stichting Frisse Wind.nu (SFW) has filed a lawsuit against the company's subsidiaries Tata Steel Nederland (TSN) and Tata Steel IJmuiden in the district court of North Holland, Tata Steel said in an exchange filing late on Thursday.

SFW is looking for compensation on the grounds of increased susceptibility to various health issues and the loss of enjoyment of homes, as the average home value in the region demonstrably lags behind that of comparable regions.


Tata Steel said it is fully prepared to defend against the claim.

"Although, TSN is yet to receive the exhibits on which SFW intends to rely, TSN has already identified substantial grounds for defence," it said in its regulatory filing.

SFW has initiated the proceedings under the Dutch Act on Collective Settlement of Mass Claims (Wamca), stating that it is acting on behalf of residents living in the vicinity of the plant.

Tata Steel's plant at IJmuiden is more than 100 years old, and produces seven million tonnes of steel each year. The plant manufactures high-quality flat steel products for automotive, construction, packaging and heavy equipment.

In September this year, the Dutch government proposed a support of up to ₹2 billion for decarbonisation at the plant.

"In our assessment, SFW faces considerable challenges regarding both admissibility and the merits of its case," Tata Steel said.