CHENNAI: PMK founder S. Ramadoss on Friday alleged that demands for hefty bribes by ruling politicians in Tamil Nadu drove away the South-Korea based automobile manufacturer Kia Motors to move to Anantapur in Andhra Pradesh, where CM N. Chandrababu Naidu promised major concessions sans bribes.
The company had agreed to set up a factory near Chennai at a cost of Rs 10,000 crores to produce three lakh cars every year.
It wanted to establish the factory in Tamil Nadu since its parent company, Hyundai Motors is located in the state, Ramadoss said and added that the state government had given consent to give 390 acres for the factory and announced it in the Assembly on August 11, 2016.
However, the company had announced that it would set up its factory in Anantapur and the consultant of the company had openly alleged that the rulers of Tamil Nadu demanded 50 per cent bribe when the company sought tax holiday and concessions in electric charges, water usage, sewage discharges and roads.
He had also said Andhra Pradesh Chief Minister Chandrababu Naidu agreed to give all the concessions without a single paisa bribe and the company selected Andhra Pradesh to set up its factory.
Ramadoss said this is an example of how the state government is functioning in attracting foreign investments and corruption is the reason for Tamil Nadu sliding down to the 18th position in industrial growth.
Kia Motors would have provided employment for about 10,000 persons and 72 factories were ready to provide spare parts to the motors company.
