Bengal government will give compensation of Rs 766 crore to Tata Motors - big win for Ratan Tata

Business News: Ratan Tata's Tata Motors has got a big victory in the Singur land dispute of West Bengal. However, this victory is also a big blow to the West Bengal government Mamata Banerjee. In fact, after the victory in the Singur dispute, the Bengal government will now give a compensation of Rs 766 crore to Tata Motors. Bengal government will give compensation of Rs 766 crore to Tata Motors to compensate for the loss in Singur manufacturing plant. Instructions have been given to West Bengal Industrial Development Corporation to give compensation. Let us explain to you what is the whole Singur issue…

This is a case of 2008

In the year 2008, Tata Motors had to transfer its manufacturing plant from Singur in West Bengal to Sanand in Gujarat in October due to a land dispute. However, by that time Tata Motors had invested more than Rs 1,000 crore in Singur. Due to land dispute, Tata Motors had to shift its plant from here to Gujarat. Let us tell you, Tata's small car Nano was to be produced in Singur plant in Gujarat.

Tata Motors gave information

Tata Motors told the stock market that a three-member arbitration tribunal has ruled in its favor. According to the decision, the company is entitled to recover an amount of Rs 765.78 crore from the defendant West Bengal Industrial Development Corporation Limited (WBIDC) along with 11 percent annual interest. The interest is calculated from September 1, 2016 till the date of payment of compensation.

Tata Motors had sought compensation from WBIDC to compensate for the losses incurred due to the closure of the Singur plant. In this, claims were made on other items including loss on investment.