Tuesday, November 22nd, 2016

Nusli Wadia serves defamation notice to Tata Sons

Narada Desk | November 22, 2016 9:35 am Print
In a letter to Tata Sons board members, including Mistry, Wadia said he was accused of galvanising independent directors and "acting prejudicially". On November 10, Wadia, along with other independent directors, had supported Mistry's chairmanship at Tata Chemicals

Industrialist Nusli Wadia has served a defamation notice to Tata Sons over the conglomerate’s allegations during his removal as independent director from companies under the group’s ambit, The Economic Times reported on Tuesday.

In a letter to Tata Sons board members, including Mistry, Wadia said he was accused of galvanising independent directors and “acting prejudicially”. On November 10, Wadia, along with other independent directors, had supported Mistry’s chairmanship at Tata Chemicals.

Wadia believes this act of Tata Chemicals’ independent directors prompted Tata Sons to turn “vindictive” and remove him from the board of Tata Steel. He said that the Tata Sons resolution to remove him from Tata Steel board was done “with great haste within hours of the Tata Chemicals board meeting”.

Wadia alleged that Tata Sons and its board of directors were “pursuing a personal vendetta” against him for discharging the duties of an independent director. Wadia gave two days’ time to Tata Sons to withdraw its special notice, failing which he would initiate civil and criminal proceedings against the Tata Sons board, said the notice.

On November 12, Tata Sons had moved resolution to have both Cyrus Mistry and Nusli Wadia removed as directors of Tata Chemicals, Tata Steel and Tata Motors. Wadia, who is the chairman of Bombay Dyeing and Britannia Industries, has been an independent director of Tata Chemicals since June 1981, Tata Steel since August 2005 and Tata Motors since December 1998.

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