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LATEST NEWS UPDATES | Ordinance ‘takes back’ Tata land

Ordinance ‘takes back’ Tata land

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published Published on Jun 10, 2011   modified Modified on Jun 10, 2011

-The Telegraph

 

Chief minister Mamata Banerjee today said the state government had “taken back” through an ordinance the 997.11 acres lying with the Tatas and vendors in Singur to fulfil the promise of returning plots to disgruntled farmers.

The dramatic announcement evoked studied silence from the Tatas, sounded the death knell for the agreement the business group signed with the erstwhile Left government and triggered hair-splitting that raised questions about the constitutional validity of the ordinance.

The chief minister cited “non-performance” as the reason for the decision to take back the leased land that was once set aside for the Nano car plant.

“The governor has signed the ordinance today. We have taken back the entire land. For four years, the land was lying unutilised, there was non-performance. If the land remains unutilised for three-four years, the government can take it back. We had taken this decision in the cabinet. On the first day, we had announced this. Khushir khabor (Good news),” Mamata said at Writers’ Buildings.

“I am very happy today. Let this day be dedicated to Singur,” a beaming Mamata added.

She said 600 acres would be kept reserved for industry and 400 acres (possibly sourced mainly from vendors’ allotments) returned to farmers who were “unwilling” to part with their land. Local MLA and minister Rabindranath Bhattacharjee has been given the responsibility of talking to the farmers and working out the modalities of distributing the land, for which an amendment bill will be passed.

“I want industry to come up there. The 600 acres have been left for public purpose, industry purpose,” she said.

On the Tatas, who Mamata again referred to as “Tatababus”, she said they could either invest afresh or opt for compensation.

“I have no objection if they want to set up the factory in Singur on the remaining 600 acres. I have seen a letter that the Tatababus wrote to the previous government saying that they were willing to vacate the land if they were compensated. We have no objection to that as well. If they settle for compensation, an arbitrator will decide on the amount to be paid,” she said.

State industries minister Partha Chatterjee said the agreement with the Tatas stood annulled after the ordinance. “Oi lease kharij hoye gechhe. Oi lease to aar nei (That lease is cancelled. That lease is no more),” Chatterjee told The Telegraph. “If the Tatas want to come, they are welcome. But if they were interested, would they have brought up compensation?” he asked.

A spokesperson for Tata Motors, which holds 645 of the 997 acres, said: “We would not like to comment until we have the opportunity to study the ordinance.”

The move has come at a time Mamata is gearing up to chair an investment meeting on June 18, to which many industrialists, including Ratan Tata, are invitees.

According to the acquisition law, land can be taken back from the lessee if it lies unutilised for over three years. If the clock started ticking when the deal was signed in March 2007, three years are already over but the Tatas had carried out 80 per cent of the work. If the count began from the day of pullout in October 2008, some more months remain for the “unused” deadline to be over.

Besides, according to the agreement with the Tatas, a 21-month notice has to be given before cancelling the agreement.

However, the West Bengal Industrial Development Corporation (WBIDC), which leased out the land, had written to the Tatas last year pointing out that the project had not been completed three years after the lease was signed and asking what they intended to do.

It was in response to this communication – on the basis of which Mamata seems to have cited “three-four years” – that the Tatas had referred to compensation.

“An ordinance will make these clauses (of the agreement) redundant,” said lawyer Arunava Ghosh.

The ordinance has fallen into a constitutional twilight zone as the Assembly is technically still in session, having adjourned after meeting for one day to elect the Speaker. “The House is in session, it has merely been adjourned,” Speaker Biman Banerjee said.

An ordinance, supposed to be an emergency option, cannot be promulgated when the Assembly is in session.

CPM state secretary Biman Bose dubbed the government’s move “unconstitutional”.

An unfazed Mamata, who has an overwhelming majority in the Assembly, appeared be keeping a Plan B ready. “If the CPM has objections, we won’t issue the notification. We can convene the Assembly session on Tuesday and get a bill passed. Kono ashubidhe nei (There is no problem). Even the Forward Bloc, RSP and the CPI will support us.”

Former Speaker Hashim Abdul Halim said the session could be brought forward but it should begin with the governor’s address.”

The Telegraph, 10 June, 2011, http://www.telegraphindia.com/1110610/jsp/frontpage/story_14095078.jsp


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