Ratan Tata’s close associate Mehli Mistry out of Tata Trust:It has a 66% stake in Tata Sons; which is the holding company of TCS, Tata Steel and Tata Motors

Meheli Mistry, a close associate of Ratan Tata, has been removed from the boards of Sir Dorabji Tata Trust and Sir Ratan Tata Trust. Three out of six trustees voted against his re-appointment.
According to reports, Darius Khambata, Pramit Jhaveri, and Jehangir HC Jehangir voted in favor, but three, including Noel Tata, voted against his re-appointment. This resulted in a 3-3 tie, but according to the Trusts’ rules, this is not a “tie” but a “no consensus,” meaning a lack of agreement. Tata Trusts’ rules require unanimous consent. Tata Trust controls 66% shares of Tata Sons Tata Trusts include Sir Ratan Tata Trust and some other trusts. These trusts control 66% of Tata Sons’ shares. Tata Sons includes companies like TCS, Tata Steel, and Tata Motors.
Mistry was a trustee of Sir Dorabji Tata Trust (SDTT) and Sir Ratan Tata Trust (SRTT) since 2022. These two main trusts together hold a 51% stake in Tata Sons, the holding company of the Tata Group. They have the right to nominate one-third of the members to the board of Tata Sons. The dispute began with the removal of Vijay Singh from the board of Tata Sons Mistry had approved Srinivasan’s reinstatement with a condition Mistry had conditionally approved Srinivasan’s reinstatement as a trustee and vice-chairman of the Sir Dorabji Tata Trust last week. He had said in an email: If a trustee does not pass the resolution for Venu Srinivasan’s reinstatement or does not bring a similar unanimous resolution for the remaining trustees when their terms end, then I will not give my formal approval for Srinivasan’s reinstatement.
Mistry can challenge the board’s decision in court Now there is an internal debate whether Mistry will withdraw Srinivasan’s approval or challenge the decision not to approve his reinstatement in court. Some reports state that Noel Tata, Srinivasan, and Singh have sought legal advice on this. But a trustee clearly stated – Conditional approval cannot legally stand. Once any resolution is passed, it cannot be withdrawn. Legally, this is not correct. What will be the impact of Mistry’s exit? Mehli’s departure will bring new nominations to the Tata Sons board. Perhaps Noel’s camp will gain the upper hand. This raises questions about the unity of the trusts. The old dispute with the Shapoorji Pallonji Group, i.e., the SP Group, could flare up again. Meherli Mistry is Cyrus Mistry’s cousin Mistry is the promoter of M Pallonji Group, which has businesses like industrial painting, shipping, dredging, and car dealerships.
His company Sterling Motors is a dealer for Tata Motors. Mistry is the cousin of Shapoorji Mistry and his late brother Cyrus Mistry. The Shapoorji Pallonji Group holds an 18.37% stake in Tata Sons.