The Sterlite Industries stock surged as the Supreme Court refused to direct closure of its plant in Tuticorin.

The stock climbed to a high of Rs 93.3 and was hovering around Rs 92.5 at 11.3 a.m, that is 3 per cent higher than the previous day's close.

According to a PTI report, the Supreme Court has asked Sterlite Industries to pay a compensation of Rs 100 crore for environmental pollution caused by its copper smelting plant in Tamil Nadu.

The company reported a net profit Rs 1,657.48 crore for the financial year ended March 2012 on a revenue of Rs 18,092.06 crore.

The apex court said the compensation amount will have to be paid in five years and compensation must act as a deterrent and any amount less than Rs 100 crore would not have desired impact.

The unit was ordered to halt its operations in 2010 by the Madras High Court for violating environment norms.

However, the Supreme Court had stayed the High Court order until further notice. In FY 2011-12, Sterlite Industries produced 325,877 tonnes of refined copper.

The stock was already under pressure after the Tamil Nadu Pollution Control Board on Saturday ordered closure of the company's copper smelter unit due to alleged leaks of noxious gas.

The stock moved in a narrow range of Rs 91.2 and Rs 89 in early trade on Tuesday ahead of the Supreme Court verdict on operations at its Tuticorin plant.

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