They smell bad because of the various gases coming out of them. Things like Methane can be extremely toxic to people. In sufficient amounts these gases can even destroy buildings. And if thats what it does to a building, imagine what it could do to your body.
The other big problem is rain. If it rains, then the various gases and chemicals can filter down to the groundwater, contaminating it badly, and that could make everyone in the area sick if there’s enough of it.
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