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Tata Motors: Tata Motors can recover Rs 766 crore from West Bengal, decision of arbitration panel

Pankaj Prasad
Tata Motors
Tata Motors

The West Bengal government will have to pay a huge amount of Rs 765.78 crore to the company along with 11 per cent interest from September 2016 to close Tata Motors' Nano factory in Singur.

The West Bengal government will have to pay a huge amount of Rs 765.78 crore to the company along with 11 percent interest from September 2016 to close Tata Motors' Nano factory in Singur. Tata Motors gave this information on Monday. The three-member arbitration tribunal delivered a unanimous verdict in favor of the company on Monday.

"In respect of the automobile manufacturing plant at Singur (West Bengal), it is informed that the above pending arbitration proceedings before the three-member arbitral tribunal have now been unanimously adjourned to October 30, 2023," the company told the National Stock Exchange in a note. In whose favor the award has been settled, Tata Motors is entitled to recover an amount of Rs 765.78 crore under the TML from the respondent (WBIDC) along with interest at 11% per annum from September 1, 2016 till actual recovery."

"Tata Motors is also entitled to recover a sum of Rs 1 crore from the defendant (WBIDC) towards costs of the proceedings," the note said.