Bill scrapping Singur lease in Assembly today

The proposed Bill is not an amendment to the Land Acquisition Act of 1894 but a new piece of legislation. The Bill states that the lease to Tata Motors and also the land allotted to ancillary units will stand cancelled in view of the “non-commissioning and abandoning of the small car project”.

Justifying the need to bring in the legislation,the Bill says four years had passed since Tata Motors “abandoned” the project. Tata Motors had already stated in a letter that it had removed the small car project and all machinery and equipment to another state. As for the ancillary units,the land had been lying unused for more than three years.

The West Bengal Industrial Development Corporation (WBIDC) had paid Rs 137 crore by way of compensation to land owners and spent another Rs 76 crore to construct a drainage system but it neither generated any employment or had any impact on the “socio-economic development of the region,” the Bill stated. The government will now reimburse WBIDC the amount.

Out of a total 997.17 acres acquired by the state,647 acres were leased to Tata Motors at an annual rent while a portion was allotted by WBIDC for distribution among vendors and ancillary industries,as recommended by the Tatas. No premium was charged for the 647 acres.

The Bill proposes to vest in the government all assets,leaseholds,authorities,privileges and properties,movable and immovable,including the land and structures. All rights,title or interest of the land as well its possession,power or control will be transferred to the state government once the Bill comes into force.

No reaction from Tata Motors was immediately available. Legal circles said the company could move the judiciary for compensation,which,as per the proposed Bill,would be decided by the Hooghly District Magistrate.

The government,however,proposes to pay a simple interest of 6 per cent on the amount due to Tata Motors for the project.

Grey areas

* Some legal circles feel the proposed legislation supercedes the Land Acquisition Act of 1894 that can be questioned in a court of law.

* Since the owner of the 997.17 acres of land at Singur after acquisition was WBIDC — a government company — it was not necessary to bring in a new legislation to vest it back to the government. It could have been done through an administrative order.

* The status of the farmers who accepted compensation is not defined. There may be some who had grudgingly accepted compensation and might now want their land back against return of compensation.

* Any farmer of Singur or Tata Motors will be free to move court.