Nissan Takes Legal Action Against The Indian Government! ― Here Are The Details.

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The Japanese brand, Nissan Motors, have sued the Indian Government over unpaid state incentives. According to Reuters report, the Narendra Modi-led Government have been asked to pay over $770 million or a whopping Rs. 4969 crore.

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Nissan Takes Legal Action Against The Indian Government! ― Here Are The Details

The company had finally decided to go legally, after repeated requests to the state officials to pay the amount, which was due in 2015. Nissan also claim that they couldn't get any favourable response even after sending a legal notice to Prime Minister Narendra Modi.

The state in question is the Tamil Nadu Government, as part of an agreement to build a car manufacturing plant in TN, in 2008.

Nissan Takes Legal Action Against The Indian Government! ― Here Are The Details

Nissan is aiming to get more than 5% market share in India by 2020. The brand currently has a share of 2%. If at all, the Government pays the said amount, theeconomic progress of India could greatly be affected, especially ‘Make In India' project.

Nissan Takes Legal Action Against The Indian Government! ― Here Are The Details

Though Nissan could win the the case as by law, the event could hinder with India's GDP growth, as the automotive sector contributes 7.1% of it.

Nissan Takes Legal Action Against The Indian Government! ― Here Are The Details

DriveSpark Thinks!
India's business sector has been doing quite well recently. If the Indian government has to pay such a huge amount, it could affect the linear development, India is undergoing currently. However, if we think from a justice standpoint, Nissan could be the one on the deserving side.

Read more on: #auto news #nissan
Story first published: Saturday, December 2, 2017, 16:00 [IST]
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