The bench set aside the High Court’s order, observing that Santi Ceramics, being a financially capable company with access to legal remedies, fell “outside the protective framework envisaged” in the 2016 ruling.In a major relief to the West Bengal governmentthe Supreme Court on Monday ruled that land acquired for Tata Motors’ now-scrapped Nano car project in Singur will not be restored to industrial entities that were operating there before the acquisition.
As per PTIa bench of Justices Surya Kant and Joymalya Bagchi clarified that the court’s 2016 judgment in Kedar Nath Yadav vs State of West Bengalwhich quashed the land acquisition, was aimed at protecting vulnerable farmers and cultivators—not commercial enterprises.
The verdict came on an appeal by the state government against a Calcutta High Court order directing the return of 28 bighas of land to M/s Santi Ceramics Pvt Ltd, which had operated a ceramic insulator manufacturing unit before the 2006 acquisition.
The bench set aside the High Court’s order, observing that Santi Ceramics, being a financially capable company with access to legal remedies, fell “outside the protective framework envisaged” in the 2016 ruling.
“The restoration remedy was conceived for disadvantaged farming communities, not as general restitution for all affected parties,” the court said, adding that allowing such claims would “incentivise strategic inaction” by industrial entities.
The court, however, allowed Santi Ceramics to remove its machinery within three months or request the state to auction the assets, with proceeds to be paid to the firm after expenses.
