As per the latest turn of events, within Tata Trusts, trustee Mehli Mistry is set to exit the boards of the Sir Dorabji Tata Trust (SDTT) and the Sir Ratan Tata Trust (SRTT) after key members declined to back his reappointment.
At least three trustees, Noel Tata, Venu Srinivasan and Vijay Singh, are understood to have voted against Mistry’s renewal, while Jehangir H.C. Jehangir and Darius Khambata supported his continuation. Under the Trusts’ governance framework, a trustee’s reappointment requires unanimous consent, meaning a single dissent effectively blocks the process.
Mistry’s three-year term is due to end on 28 October, which is today. A resolution to extend his tenure was circulated earlier this month but did not receive full approval, effectively ending his position as trustee, ET reported, citing people familiar with the matter.
Mistry, a long-time associate of Tata Sons chairman emeritus Ratan Tata, was appointed to the Tata Trusts board in 2022 as part of a broader leadership restructuring. His potential exit marks the second time, in recent months, that the Trusts have departed from their tradition of consensus-based decision making following the majority vote in September to withdraw former defence secretary Vijay Singh’s nomination from the Tata Sons board.
The Tata Trusts together hold about 66% of Tata Sons, the holding company of the Tata Group, with the SDTT and SRTT jointly controlling around 51%.
Who is Mehli Mistry?
Mistry, who heads the M Pallonji Group, is a cousin of Shapoorji Pallonji Group promoters Shapoor Mistry and the late Cyrus Mistry. The SP Group holds an 18.37% stake in Tata Sons and has been engaged in a long-running legal and financial dispute with the Tata Trusts over valuation and governance matters.
Earlier in September, when the Tata Trusts board convened to decide on reappointing former bureaucrat Vijay Singh to the Tata Sons board, Mehli Mistry led the rebellion group that voted against the move. This was termed to be the first open division in the Trusts’ history. Mistry, an otherwise silent figure among the trustees, rose to prominence with this event.
Tata Trusts has not issued an official statement on the matter.
