Bangladesh’s Department of Environment has fined Ferdous Steel Ship Recycling Industries Tk 500,000 for cutting the ship MT Rasi without renewing its environmental clearance. The order was issued after a hearing at the Department of Environment’s Chattogram regional office on Wednesday. The yard, located on H Akbar Ali Road in Bhatiari, Sitakunda, was also instructed to halt all cutting work on MT Rasi until the clearance is renewed.

Department officials said an on-site inspection and review of documents by the Chattogram district office found that cutting was underway despite the expired clearance. At the hearing, the violation was established, and compensation was set under Section 7 of the Bangladesh Environment Conservation Act, 1995, as amended in 2010, using the approved environmental damage assessment method.

The company must deposit the amount in the government treasury through the designated challan within seven working days. The order said failure to pay or implement it could lead to legal action, including a criminal case. A yard official said the vessel’s clearance had expired only two days earlier and could not be renewed in time.