Government may allow Finnish telecom firm Nokia to sell its Chennai plant with a condition that the money realised will be kept in escrow account till final verdict is out on its Rs 21,000 crore tax dispute.
"The Prime Minister (Narendra Modi) took initiative to resolve Nokia factory issue so that mobile manufacturing can be restarted in its Chennai plant," a source told the news agency .
An inter-ministerial panel was formed in this regard and Central Board of Direct Taxes (CBDT) has agreed to the proposal of allowing sale of plant and deposit realised amount in escrow account, the source added. On March 3 in Parliament, Modi has indicated that the Tamil Nadu-based Nokia plant, which shut down a few months ago, is likely to start functioning again.