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Nissan settles dispute with Tamil Nadu over unpaid dues: Report

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NEW DELHI/CHENNAI : Nissan Motor Co has agreed to settle a long-running dispute with the Indian state of Tamil Nadu after claiming it was owed 50 billion rupees ($660 million) in unpaid dues and damages, six sources told Reuters.

As part of the settlement, the Japanese automaker is expected to receive between 14 billion rupees ($185 million) and 18 billion rupees ($238 million), two sources aware of the matter said.

The dispute arose after Nissan said Tamil Nadu hadn't paid certain incentives under a 2008 agreement to set up a car plant in the southern state.

Nissan initiated an international arbitration against India in 2016, claiming 21 billion rupees in unpaid dues and 29 billion rupees in damages and other costs.

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