Nusli Wadia Files Defamation Case Against Tata Sons, Seeks Rs 3,000 Crore
Wadia warned that should Tata Sons fail to withdraw the notice in the next two days, he will initiate criminal and civil proceedings.
Tata sons has now landed in new trouble with defamation case by Industrialist Nusli Wadia, seeking Rs 3000 crore in damages.
Reportedly, Nusli Wadia, who is an independent director on the board of three Tata Sons companies — Tata Steel, Tata Motors and Tata Chemicals, faces a shareholders' vote on December 23 after Tata Sons moved a resolution to remove him as an independent director.
According to the reports, Wadia had written three letters to the companies earlier. It has been said that in the two letters written to Tata Sons, Wadia said the reasons offered by the holding to seek his expulsion were “false, defamatory, baseless and libellous”, pointing out that the allegations have been made with an intent to harm his reputation.
Tata Sons has said that he acted in concert with Cyrus Mistry, the ousted chairman of the holding company, and some of his actions were harmful to the group.
In his missive, he called upon the company to prove and substantiate the charges levelled against him with documentary evidence, calling these allegations "totally false and baseless."
On the allegations that he is “galvanising independent directors and mobilising opinion, forcing disruptions and issuing statement which is contrary to the interests of the Company”, Wadia said these "are totally baseless and completely unsubstantiated."
He warned that should Tata Sons fail to withdraw the notice in the next two days, he will initiate criminal and civil proceedings.
Tata Sons have called EGMs to remove ousted chairman Cyrus Mistry and Wadia from the boards of Indian Hotels, Tata Chemicals, Tata Motors and Tata Steel. Tatas have also accused Wadia of trying to take control of some of these companies
The Bombay High Court is expected to take up the matter on December 19.
Separately, four minority shareholders have filed a suit in the Bombay high court challenging Wadia’s ouster.