Article by Darshana Jamindar
Recently, Tata Group chairman Cyrus Mistry had paid courtesy visit to Gujarat chief minister Anandiben Patel. State government for the first time has officially accepted of lending a loan of Rs 419.54 crore from Gujarat’s budget to Tata Motors under its agreement with the company.
Confirmation about loan to Tata Motors was given by Gujarat’s spokesperson Saurabh Patel, who is in-charge industry and mines minister, in state assembly that the state government had given a soft loan of Rs 419.54 crores at 0.1% interest rate to Tata Motors as the incentive for their Nano car plant in Sanand. in a reply to a starred question by Tejashree Patel, Viramgam Congress MLA .
The Congress MLA asked whether the state government plans to give the benefit of loan at 0.1% interest rate to small and medium industries. The minister avoided comment on this question and defended the government’s decision. Minister said that earlier governments too have given tax deferment and tax exemption benefits to industries.
