On Thursday, Tata Sons announced its new chairman â€“ N Chandrasekaran, the ex-boss of Tata Consultancy Services (TCS). Ratan Tata was acting as the group‘s interim chairman after Cyrus Mistry was removed from the position on October 2.
On Thursday, Tata Sons announced its new chairman – N Chandrasekaran, the ex-boss of Tata Consultancy Services (TCS). Ratan Tata was acting as the group’s interim chairman after Cyrus Mistry was removed from the position on October 2.
Ever since Mistry’s removal, Bombay House, the headquarters of Tata Group, has been the epicenter of action -- and speculation -- on how both camps would take the fight to the other.
Mistry has resigned from the group companies and has decided to take a legal route by filing petitions against the company and Ratan Tata over his unfair removal.
In the last two months, both the Mistry and Tata camps have been throwing allegations against each others. While Mistry has alleged that his removal was illegal, Tata Group continues to say that Mistry tried taking over Group companies with help of other directors.
The story so far.....
January 12: Ex-TCS chief N Chandrasekran takes over as the chairman of Tata Sons.
January 11: Investment firms – Cyrus Investmnets Pvt Ltd & Sterling Investment – filed a contempt application at NCLT against Tata Sons and Ratan Tata for violating tribunal’s order on Mistry’s removal from the board.
December 27: Tata Sons serves Mistry with a legal notice for alleged breach of confidentiality.
December 20: Mistry files a petition with the National Company Law Tribunal against Ratan Tata, Tata Sons and few other directors.
December 19: Mistry resigns as director from Tata company boards before scheduled EGMs.
December 13: Mistry is removed as director of TCS after shareholder vote in EGM.
December 7: Six shareholders of the Tata Group approach Bombay High Court claiming damages by Ratan Tata and 29 others for losses suffered by the investors.
December 5: Mistry seeks government intervention to resolve corporate governance issues in the Tata Sons.
November 29: Tata Power also announces EGM on December 26 to remove Mistry as a director.
November 25: Tata Steel removes Mistry as an independent director and appoints OP Bhatt as the interim chairman. The company also calls for an EGM on December 21 to seek Mistry’s removal. Tata Global Beverages passes resolution to remove Mistry.
November 23: Mistry blames Ratan Tata’s ego for huge financial losses of the Group. Tata Chemicals announces an EGM on December 23 to remove Mistry and Wadia, who sends defamation notices to the Group.
November 22: Nusli Wadia serves a defamation notice to directors of Tata Sons (this was in reply to removal notice for Tata Steel).On the same day, TCS and Indian Hotels call for an extraordinary general meeting (EGM) to remove Mistry as a director.
November 15: Mistry is removed from the board of Tata Beverages. Mistry, in retaliation, says that the move is illegal.
November 14: Tata Motors independent directors come out in support of Mistry.
November 12: Tata Steel board directors split over with Mistry with three directors coming out in his support. Also, Tata Sons sends removal notice to Mistry and Nusli Wadia from Tata Steel.
November 11: Tatas, in a statement, accuses Mistry of using devious method to take over Indian Hotels and other Tata companies with help of independent directors. TCS board removes Mistry and nominates Ishaat Hussain as interim chairman.
November 10: Tata Chemical’s independent directors comes out in support of Cyrus Mistry and Bhaskar Bhatt resignes from the company’s board. Independent director, Nusli Wadia too comes out in support of Mistry.
November 7: The Group postpones its investor meet which is scheduled for November 18 to next quarter.
November 5: Tata Motors defends its Rs 1 lakh Nano car strategy which Mistry had mentioned in his letter. However, the company does not speak about its future plans.
November 4: In a responsibility rejig, Tata Sons appoints S Padmanabhan to oversee HR functions, Mukund Rajan, who is former executive assistant of Ratan Tata, will be overseeing group operations in US, Singapore, Dubai and China alongwith ethics and sustainability duties.
Harish Bhatt will be looking at Tata Brand alongwith his marketing and customer centric duties.
Independent directors of Indian Hotels come out in support of Mistry after its Board meet and appreciate the efforts taken by him.
November 2: Ratan Tata writes another mail to employees saying that removing Mistry was absolutely necessary for the future of Tata Group. He further says that decision was difficult but was taken after serious deliberation.
October 29: Tata Group’s Human Resources chief NS Rajan resigns from the company.
October 28: Mistry ups his attack on the Group and Tata. Mistry also denies the allegations that the Board was not consulted over purchase of Welspun Power.
Mistry also says he is surprised with reasons that Tata gave for his removal. The Group had said that Mistry’s tenure “was marked with repeated departures from the culture and ethos of the group”.
October 27: Aviation Ministry, too, says it will look into Mistry's allegations of fraud in Air Asia India. Mistry had alleged 'fraudulent transaction' of Rs 22 crore.
Tata Sons responds to the letter, calls Mistry's claims 'unsubstantiated' 'malicious'.
Tata Steel top officials meet fund managers and financial institutions to ensure that the group continues to focus on company’s growth.
Mistry chairs the Board meet of Tata Global Beverages.
October 25: Shapoorji Pallonji & Co, of which Mistry is the Managing Director, says that it is looking at the situation and then will decide whether or not to take action.
Tata Group files caveats in the Supreme Court, Bombay High Court and National Company Law Tribunal to ensure that Mistry doesn’t get an ex-parte order against his sacking.
Ratan Tata writes to the Board asking them to focus on the business. Ralf Speth, CEO of Jaguar Land Rover and TCS’ CEO & MD N Chandrasekaran are appointed as Additional Directors on the Tata Sons Board.
October 24: Cyrus Mistry is removed from the post of Tata Sons chairman without any explanation. The Group Executive Council (GEC), which was formed by Mistry, too, is disbanded.
The company forms a selection panel to choose Mistry’s successor in the next four months. Mistry continues to be chairman of group companies.
Read More: High-profile exits