Been served with petition filed before NCLT: Tata Sons

Mumbai, Dec 20 (IANS) Tata Sons on Tuesday said it has been served with a petition filed before the National Company Law Tribunal (NCLT) by ousted Chairman Cyrus Mistry’s investment companies.

“This afternoon Tata Sons was served with a petition under Sections 241 and 242 of the Companies Act before the National Company Law Tribunal,” the holding company of the industrial conglomerate Tata Group said in a statement.

“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.”

The development comes a day after Mistry said that he will step down from positions held by him in Tata Group companies which have called extra-ordinary general meetings (EGMs) to remove him from their respective boards.

“Having deeply reflected on where we are in this movement for cleaning up governance and regaining lost ethical ground, I think it is time to shift gears, up the momentum, and be more incisive in securing the best interests of the Tata Group,” Mistry had said on Monday.

“Towards this end, the objective of effective reform and the best interests of employees, public shareholders and other stakeholders of the Tata Group (the very people I sought to protect as Chairman) would be better served by my moving away from the forum of the extra-ordinary general meetings.”

“It is with this thought in mind that I have decided to shift this campaign to a larger platform and also one where the rule of law and equity is upheld. I had initially not thought that one would need to seek an external forum to adjudicate issues that should never have arisen in the first place.”

Tata Sons’ board had ousted Mistry on October 24 and appointed Ratan Tata as interim Chairman.

–IANS

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