Tata seizes control, Cyrus Mistry removed as director of Tata IndustriesThe Tata Group on Monday sacked Cyrus Mistry from the post of director of Tata Industries, 45 days after his removal as the chairman of Tata Sons in a boardroom coup in October.
The Tata Group on Monday sacked Cyrus Mistry from the post of director of Tata Industries, 45 days after his removal as the chairman of Tata Sons in a boardroom coup in October.
Mistry was voted out at the Tata Industries Extraordinary General Meeting (EGM) on Monday morning. His exit as director means he also ceases to be the chairman of the board.
Meanwhile, Tata Sons has appealed to the shareholders of Tata group companies to remove Mistry from the board, saying his presence as director “is likely to lead to fragmentation of the Tata Group”.
In the next few weeks, six more Tata group companies are expected to hold similar meetings to remove Mistry.
On Sunday, Tata Sons had accused Mistry of misleading the panel to get selected as chairman, retracting on his promises, concentrating powers and misusing free-hand given to him to weaken management structures.
“Tata Sons said Mistry misled the Selection Committee set up in 2011 for selecting a Chairman of Tata Sons to succeed Mr Ratan Tata, by making lofty statements about his plans for the Tata Group and more importantly indicated an elaborate management structure for managing the Tata Group, given its diversity of business, by suggesting a management structure aimed at dispersal of authority and responsibility,” a Tata statement read.
Mistry hit back at the accusations linking one of the company’s directors Vijay Singh to the VVIP chopper scam. The charge was, however, vehemently denied by the latter.
Mistry, who is locked in a boardroom tussle with the Tatas, alleged Singh had a role in the AgustaWestland chopper scam as it happened when he was the Defence Secretary in 2010.
In October this year, Mistry was removed as chairman of Tata Sons, the holding firm of the Tata empire, but continued to be on the board of some group companies.