The Cauvery crisis is back to haunt people of Karnataka and Tamil Nadu. Sporadic protest after a Supreme Court order saw widespread violence and vandalism in the capital city of Bangalore. A curfew was imposed which turned India’s IT city into a ghost town for the next few days. We list out 5 reasons why the Cauvery dispute could spell doom for Brand Bangalore.

1. No More A Stable City: Almost all fortune 500 companies have their presence in Bangalore. The bandh forced all companies to shut operations amounting to huge losses to IT and ITes companies. When untoward incidents like this occur, investors question the image of Bangalore as an attractive investment destination.

2. Losses Unaccountable: Buses and trucks were burnt to ashes. Shops and restaurants damaged. According to industry body ASSOCHAM this lawlessness could cost the state up to Rs 25,000 Crs. Worse even, getting insurance claimed for an act of mob violence is very difficult.

3. Shrinkage in Ready Supply: Bangalore is already witnessing low absorption when it comes to commercial office spaces. Events like this add to the negativity. A first time investor will think twice before setting up shop here adding to the unsold inventory.

4. Water Problems: At the forefront is the water crisis. With the CM of Karnataka tweeting that this verdict could leave cities like Bangalore and Mysuru without sufficient water, people wanting to move base to Bangalore would be skeptical. This could put some strain on existing residential supply as well.

Apprised PM – daily release of 15,000 cusecs would deprive BLR of drinking water & farmers in Cauvery basin water for only crop they grow

— CM of Karnataka (@CMofKarnataka) September 9, 2016

5. E-commerce and Start-ups Worse Affected: Having offices shut of over 48 hours doesn’t accrue well for the start up industry. Even the e-commerce industries which has warehouses in the city feared being targeted. Cases of Tamilians leaving the city also drew flak and further hurt the image of Bengaluru.

Reporter- Stacy Linera Pereira, NDTV