Appearing for Tata Motors, Samaraditya Pal submitted before Justice Saumitra Pal that lessor West Bengal Industrial Development Corporation had agreed to indemnify the company in case it suffered losses of any kind.
The indemnification amount would be equivalent to the actual expenditure incurred by the company on the project, he said.
The indemnification clause was a part of the leased agreement signed between Tata Motors and WBIDC on behalf of West Bengal government, he said.
He said the factual background was required to be placed before the court and 997.11 acre was acquired comprising five mouzas under the Singur police station for public purpose and at public expense.
He submitted West Bengal government was of the view that since the state had lagged behind in terms of industrialisation and unemployment was rampant, the project would have a demonstrative effect and also generate employment to 2000 directly and 10,000 indirectly, which was a public purpose.