Public borrowing is the new move from Tata Motors

It seems somehow amazing but its the truth that the Tata Motors are now going to make the money from their possible public borrowing so that they can raise their funds to Rs.2,700 crore all that to fulfill their ongoing requirements in the present financial crises. To fulfill the present ongoing requirements through investing public deposits is like having a fixed income sourse for the company. According to one of the company official, Tata Motors can use upto Rs2,700 crore from the public funds so as to make the ongoing requirements following the Acceptance of Deposits rules, 1975, amended by the company. However it is still not finalized about the captial to be raised from the public for the company benefit.
  Not only this the company is having this borrowing again from the public since after 1995. This public borrowing would be done with a payee interest at the rate of 11% annually. This complete process will go on for three years. The interest would not going to be the same for the all three years. It would be just 10 percent for the first year for a money deposit of Rs.20,000, while it would be 10.5 percent for the next year and the interest would be 11 percent for the third year.