Ousted Tata chairman Cyrus Mistry moves National Company Law Tribunal against Tata Sons
Mistry had stepped down from all Tata Groups on Monday saying it was time to be more �incisive in securing the best interests of the Tata Group�. In his resignation letter, Mistry accused Ratan Tata of staging �an illegal coup� against him on October 24
A day after resigning from the boards of listed Tata group of companies, Cyrus Mistry on Tuesday filed a suit against Tata Sons in the National Company Law Tribunal. The petition was filed against the oppression and mismanagement of Tata Sons under Section 241 of the Companies Act.
According to a report in Economic Times, the 344-page petition, which was filed in the evening just before the closing hours of the tribunal by two firms — Cyrus Investments and Sterling Investments — was served on 23 people that includes industrialists Ajay Piramal, Venu Srinivasan, Harvard Business School dean Nitin Nohria, country head of private equity fund Bain Capital Amit Chandra, retired bureaucrat Vijay Singh and former Tata veteran NA Soonawala.
Responding to the petition Tata Sons said in a statement, “this afternoon, Tata Sons Limited was served with a petition under Sections 241 and 242 of the Companies Act before the National Company Law Tribunal. We understand that the petition has been filed by investment companies of Cyrus Mistry. Tata Sons is in consultation with its lawyers and will contest the allegations therein.”
“Tata Sons reiterates that it has followed the highest standards of corporate governance in its operations and views the petition as an unfortunate outcome of the situation arising from Mistry’s complete disregard of the ethos of the Tata group and Jamsetji Tata. Despite, Mistry’s recent assertions that it is not a personal issue, it is evident that it always has been for him a personal issue which reflects his deep animosity towards Ratan N Tata,” Tata Sons said.
Mistry had stepped down from all Tata Groups on Monday saying it was time to be more “incisive in securing the best interests of the Tata Group”. In his resignation letter, Mistry accused Ratan Tata of staging “an illegal coup” against him on October 24.