Wadia threatens Tata Group with legal action
Mumbai, Nov 22 (IANS) Independent director on three Tata Sons group companies and well-known industrialist Nusli Wadia has sent personal notices challenging the allegations levelled against him as “false”.
While one personal notice was sent on Monday to Tata Steel, another similar one was reportedly sent on Tuesday to Tata Chemicals, and a third is likely soon to Tata Motors – the three companies on which Wadia is an independent director.
Wadia has questioned the contents of a special notice of November 11, of Tata Steel and the item No. 2 on the agenda ‘Removal of Nusli Wadia as Director’.
He took strong umbrage to six allegations in the special notice, that he (Wadia) was acting in concert with Cyrus Mistry, has been acting against the interests of the Tata Group, has been acting in a manner designed to cause harm to the Tata Group, was not conducting himself independently and acting prejudicially, his actions could gravely jeopardize the company, its future and its employees, and that the shareholders had lost faith in him and sought his removal.
“These allegations are absolutely baseless, false, defamatory and libellous and have been made with the intention of harming my reputation,” Wadia said in the personal notice signed by him and sent to all the directors.
Terming the special notice as devoid of any factual references or evidence, he said it has lowered his image in front of his colleagues in Tata Steel and the public shareholders who would purportedly benefit by his removal.
Wadia demanded that Tata Steel should produce all proofs, evidence, documents and information to support its allegations pertaining to all the points it has raised in its special notice.
He further asked the company to either prove its allegations or withdraw its special notice within two days, failing which he would be at liberty to initiate criminal or civil proceedings.
Wadia is an independent director on the boards of Tata Chemicals, Tata Steel and Tata Motors for long but varying periods.
The notice seeking his removal was served by Tata Sons, accusing him of backing former group chairman Cyrus Mistry who was sacked on October 24.