Tata Nano project relocation: Charge that Radia negotiated deal is difficult to accept, says Shah panel

he panel has found the allegation that the whole project was negotiated by controversial corporate lobbyist Niira Radia “difficult to accept”.

The Justice (retired) M B Shah Commission, probing corruption charges against the Gujarat government, has given a clean chit to the then Narendra Modi-led regime on most of the 15 allegations of corruption in various projects, including relocation of Tata Motors Limited’s Nano project. The panel has found the allegation that the whole project was negotiated by controversial corporate lobbyist Niira Radia “difficult to accept”.

This has been recorded by the commission in its 20-volume report, which was tabled in the Gujarat Assembly last week after five years of its submission.

Congress leaders Shaktisinh Gohil and Arjun Modhwadia had submitted a memorandum to the then President Pratibha Patil, levelling 17 allegations against the state government. The commission was formed to probe 15 of these allegations.

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The Gujarat government had filed a detailed reply on the allegations before the commission, in which it stated that Tata Motors was invited by it to relocate the plant from West Bengal to Gujarat. It stated that many states were “wooing” the company, but Tata Motors eventually narrowed its list to Andhra Pradesh, Karnataka and Gujarat.

The government stated that it had formed a committee of chief secretary and senior secretaries to deal with Tata Motors. “It is absolutely baseless to allege that the whole project was negotiated by Ms Neera (sic) Radia because the state government officers…carried out discussions about the issue of relocation of the project with the Tata Motors Ltd (TML) team and the state government support to be offered to the company. During such discussions, the officials of the company and senior officers of government of Gujarat participated in the discussion,” the government stated.

The commission has stated, “Hence, considering the aforesaid facts, it will be difficult to accept the contention that there was any clandestine understanding between Tata Motors Ltd and the CM of Gujarat…” The panel has also given the Gujarat government a clean chit on other allegations related to the Nano project relocation.

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