News Today: Supreme Court orders $1B compensation in X-Press Pearl disaster, citing violations of citizen rights and environmental negligence.

In a historic verdict, the Supreme Court of Sri Lanka has ordered non-state entities involved in the MV X-Press Pearl maritime disaster to collectively pay an initial compensation of USD 1 billion for the massive environmental and economic damages caused by the incident.

The Court directed that this compensation must be paid to the Secretary to the Treasury in Sri Lanka, with the first installment due by September 23, 2025. The payment is to be made within one year.

The five-judge Supreme Court bench, led by Chief Justice Jayantha Jayasuriya, along with Justices Yasantha Kodagoda, Shiran Gooneratne, Achala Wengappuli, and Priyantha Fernando, delivered a comprehensive 361-page judgment that will be remembered as a turning point in environmental justice.

The companies found liable include Sea Consortium Lanka (Pvt) Ltd, MV X-Press Pearl, and other affiliated parties responsible for the maritime disaster which severely affected Sri Lanka’s coastline, marine biodiversity, and the fishing industry.

In a significant addition to the ruling, the Court held that former State Minister for Urban Development and Coast Conservation, Nalaka Godahewa, violated Article 12(1) of the Constitution by failing to uphold his statutory responsibilities, thereby infringing the fundamental rights of Sri Lankan citizens.

Similarly, the former Chairperson of the Marine Environment Protection Authority (MEPA), Dharshani Lahandapura, was found to have failed in her legal duties, contributing to the delay in mitigation and clean-up efforts following the disaster.

The Supreme Court emphasized accountability and the importance of protecting natural ecosystems, sending a strong signal that negligence at both corporate and governmental levels will no longer be tolerated.

This landmark judgment marks a significant advancement in environmental law, citizen rights, and public sector accountability in Sri Lanka, reaffirming the judiciary’s commitment to uphold constitutional protections and environmental integrity.