Foxconn plant not yet? Oppn targets CM

NT Correspondent

Bengaluru: Where does the truth lie as far as the mega bucks Foxconn deal to manufacture Apple phones is concerned? The controversy erupted when Chief Minister Basavaraj Bommai tweeted on Friday about the supposed deal stuck between the Karnataka government and the iphone manufacturing giant’s chairman Young Liu.

Now, the Opposition Congress and JD(S) have both launched attacks against Bommai for allegedly making misleading claims about investments by the Taiwanese tech giant in Karnataka.

“Agreement signed with Foxconn, leading electronics major, to make major investment in the state after a detailed discussion with co’s C’man Young Liu. It is expected to create 1 lakh jobs, 300 acres of land near Bengaluru International airport allocated,” the CM said, attaching a video of his meeting with Liu.

Some news media citing unnamed sources, most likely associated with the State government, speculated the investment to be around $700 million and claimed that a new iphone manufacturing factory would come up in the state. 

The Foxconn chairman was then forced to issue a clarification that exact details of the investment had not been agreed upon and that it was only an in-principle agreement to “deepen partnerships” and “and seek cooperation in new areas such as semiconductor development and electric vehicles”.

“Foxconn has not entered into binding, definitive agreements for new investments during this trip,” Liu said. “Negotiations and internal review are ongoing. Financial investment sums discussed in the media are not information being released by Foxconn,” he added.

This clarification led to attacks on Bommai by Congress and JD(S) alike. Karnataka Pradesh Congress Committee (KPCC) communications chairman Priyank Kharge alleged that the CM had endangered a potential deal with the tech giant by disclosing details to sections of the press.

“Is the @CMofKarnataka misleading the people of Karnataka? Why would the CM jeopardize such a prestigious investment by doing a publicity stunt? Most investors prefer secrecy till final agreements are signed,” he said. All India Congress Committee (AICC) general secretary Randeep Singh Surjewala claimed that Bommai had lied about deals being struck.

“CM Bommai’s claim of Foxconn signing an agreement with Bommai Government, making Apple iPhones and creating 1,00,000 jobs are AN EXERCISE IN “FAKERY” ! Probably cancelled because they didn’t give 40% Commission. CM Bommai should publicly apologize!” he tweeted. JD(S) legislature party leader HD Kumaraswamy joined in the Bommai bashing, calling the promises made by the CM “a publicity stunt.”

“In a media statement made by the Taiwanese company, it clarified that “there was no definitive agreement to invest in Karnataka.” What then happened under honourable Chief Minister Basavaraj Bommai on Friday? A deal or a gimmick? People should be told,” he said.