1. Cyrus Mistry hits out at Tata Sons for cancellation of programme for new directors

Cyrus Mistry hits out at Tata Sons for cancellation of programme for new directors

The cancellation of an orientation programme by Tata Sons planned earlier for three new directors — Ajay Piramal, Amit Chandra and Venu Srinivasan — has been criticised by the ousted chairman Cyrus Mistry, sources close to him said.

By: | Mumbai | Published: November 17, 2016 6:20 AM

The cancellation of an orientation programme by Tata Sons planned earlier for three new directors — Ajay Piramal, Amit Chandra and Venu Srinivasan — has been criticised by the ousted chairman Cyrus Mistry, sources close to him said. These three directors had been inducted into the board of Tata Sons in August and Mistry believed that for them to be effective in making appropriate and informed board decisions, they needed a deep understanding of the group and its companies in certain respects, sources said.

“It is shocking that even before understanding the group, what had been achieved over the 148 years, and more granularly over the chairmanship of Cyrus Mistry, these newly inducted board members concluded that Mistry should be replaced. The cancellation of the new director orientation demonstrates that Tata Sons Limited believes knowledge of the group is not a pre-requisite to being a board member and making decisions fundamental to the lives of so many employees and stakeholders,” sources close to Mistry said.

Tata Sons had on October 24, replaced Cyrus Mistry as its chairman and appointed Ratan Tata as the interim chairman. Since then, the Mistry and the Tata camps have been at loggerheads with the former terming Mistry’s removal as illegal while the latter has accused him of underperformance.

After the replacement of Mistry as the chairman of Tata Sons, he has also been replaced as chairman of Tata Consultancy Services and Tata Global Beverages by Ishaat Hussain and Harish Bhat respectively. Tata Sons has also asked other group companies like Tata Steel, Tata Motors, Tata Chemicals and Indian Hotels to hold extraordinary general meetings (EGMs) to consider the removal of Mistry from their respective boards.

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