Singur project suffered due to political rivalry: Tatas

Tata Motors today claimed before the Calcutta High Court that its Nano project suffered due to rivalry between two political parties in West Bengal and denied that it had abandoned Singur.

Tata Motors counsel Samaraditya Pal, submitted before Justice Saumitra Pal that it was forced to move the plant to Gujarat because of the political situation prevailing in Singur and it was the only decision that the company could take.

Pal submitted that Tata Motors had replied to a query by the West Bengal Infrastructure Development Corporation in September 2010 on whether it would set up some other unit after the Nano plant was shifted.

Tata Motors had then said that it would consider an alternative unit only if peace and tranquility were ensured, but the situation then was not conducive to any such initiative, he stated.

Pal stated that Tata Motors had also said the company could consider moving out of the premises if compensated adequately, but it was not a pre-condition as claimed by the state.

He submitted that such a situation had prevailed in West Bengal since 1967 and several companies had left because of this, making it a difficult place for investment.

Pal will continue his arguments tomorrow.

Tata Motors has challenged the Singur Land Rehabilitation and Development Act 2011 by which the government took back the land allotted to it for the Nano project.