Tata Motors has been awarded £76.6 million as compensation by a three-member Arbitral Tribunal in the Singur plant case. The year 2008 saw the announcement of Tata Motors' audacious intentions to produce the "Nano," the world's cheapest automobile, at its Singur plant. Mamata Banerjee, the leader of the Trinamool Congress, had opposed the company because they claimed that farmland had been acquired by force.
As a result, Tata Motors was forced to shift its manufacturing plant to Sanand in Gujarat, this is despite the fact that the car maker had invested over £100 million in Singur.
Tata Motors has now been declared entitled "to recover from the respondent (West Bengal) a sum of £76.6 million with interest thereon of 11% per annum from September 1, 2016 till actual recovery thereof," according to the arbitral tribunal's unanimous decision in its favour. Furthermore, Tata Motors is also eligible to receive reimbursement for up to £100,000 to cover legal expenses.
The compensation is said to be in respect of Tata Motors’ claim of loss of capital investments with regards to the manufacturing facility.