"We will go ahead with the project but this may not take place at Dankuni," said Ashok Bhattacharya, Minister for Urban Development.

A meeting was held on Tuesday between the officials of the urban development department and representatives of DLF at Writers' Buildings. "We have decided not to go ahead with the acquisition of the land, we will purchase it. As of now, we have not yet been able to buy even one acre of land," said Bhattacharya.

The project was to come up on 4800 acres with an investment of Rs 33,000 crore.

In February 2007, the Kolkata Metropolitan Development Authority (KMDA) signed an agreement with DLF for building the project Dankuni World Project comprising a township and an industrial hub.

Following the Nandigram episode, the state government had set up a land procurement committee to purchase the land in Dankuni. But till date, the committee could make little headway because of the opposition from a large number of land owners.

The real estate giant has already paid Rs 270 crore to the government for the project.