Kolkata, 22 August 2008: Tata Motors Chairman Ratan Tata today threatened to pull out of West Bengal if violence still persists at Singur, where the company is building the factory to make the world's cheapest car - 'Nano'.

"We are deeply concerned at the violence and disruption and at the safety of our employees, equipment and investments at the project site at Singur," Mr.Tata said on the sidelines of the Tata Tea annual general meeting.

He added, "It is for the people of West Bengal and Kolkata to decide whether we are unwanted or accept us as a good corporate citizen. If it is the latter, then it is good."

Mr.Tata said that Rs.1500 crore of investments had been already made in the project.

"There is a sense of tension, violence and disruption (at Singur). Obviously it is not a conducive atmosphere. The compound wall is broken down, materials stolen."

"Whatever be the cost, we will move out if the situation demands so," he said.

Tata said that there was a general perception that Tatas were exploiting the state.

"We are extremely sensitive to the needs of the rural community. We have not come to exploit anyone. We have got the land on lease and not bought it."

The state had been long ignored by industrial houses.

"Despite much flak which we have drawn for locating the dream project at Singur, we have decided to locate the project here. We are also gifting a hospital to the state which would be commissioned in March 2009," he said.

Saying that he had no regret for coming to West Bengal, he said "I am an optimist."

If the project was moved out of Singur, then it would definitely affect the future flow of investments by the Tatas in the state, he said.

Explaining the situation at Singur, he added: "It is not possible to work under police protection."

On the issue of 400 acres which had been earmarked for the ancillary units, Mr.Tata said that the Nano was a unique product.

"It is necessary to incorporate the ancillary units in the same location to keep the logistics cost low", he said. 

The state's (also Tata's) main opposition, Trinamool Congress, has insisted that the company set up operations on 600 acres and return 400 acres of land earmarked for ancillary units to farmers from whom the property was acquired forcibly.

With the state government not relenting to the opposition party's demands, a deadlock has been created leading to tension and violence in the project area.

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