‘Maruti not shutting down Manesar plant’
Terming them as “incorrect”, the Haryana government on Thursday refuted media reports that Maruti Suzuki India Limited (MSIL) may shut its Manesar plant on account of demand for enhanced land compensation.gurgaon Updated: Jul 26, 2013 04:11 IST
Terming them as “incorrect”, the Haryana government on Thursday refuted media reports that Maruti Suzuki India Limited (MSIL) may shut its Manesar plant on account of demand for enhanced land compensation.
In a statement released to the media, the Haryana State Industrial and Infrastructural Development Corporation (HSIIDC) on Thursday said that “reports appearing in a section of media in this regard are incorrect and not based on facts”.
An HSIIDC spokesperson said that the Haryana government and MSIL have shared very close relationship over the last three decades. He added that the state government has been extremely supportive of the company and facilitated its growth in every possible manner.
“Investments made by the Maruti Suzuki group over the years, especially during the last eight years, bear testimony to its confidence reposed in the state,” said the spokesperson.
“MSIL has invested about R17,000 crore in Haryana, including R12,000 crore during the past eight years. Investment worth R6,000 crore is in the pipeline,” added the spokesperson.
The automobile major has two manufacturing facilities in India — Gurgaon and Manesar. Both the facilities have a combined capability to produce over 1.5 million vehicles annually.
Further, Maruti Suzuki is setting up a state-of-the-art research and development and contemporary test facility at IMT Rohtak over an area of 600 acres. It will be the first such facility of Suzuki Motor Company outside Japan, the spokesperson added.
In addition, Suzuki Motorcycle India Private Limited is setting up a plant for manufacturing motorcycles at IMT Rohtak, the spokesperson said.
“A finality in this behalf is a long-drawn process and difficult to predict in advance. As such, the pricing of industrial plots at this stage does not take into account any component of enhancement allowed by the courts subsequently. The impact of enhancement in compensation is thus a pass-through and recoverable from the allottees as and when the references under Section 18 are decided by the district courts or in appeals at higher levels,” he said.
The HSIIDC has already paid the enhanced cost to the land owners which is now being recovered from the allottees.
Further, a number of allottees have already made the payments. The matter is still pending in the high court and the HSIIDC is contesting the case, the spokesperson added.
First Published: Jul 26, 2013 04:09 IST