Tata Sons says the court gave Cyrus Mistry more than he wanted

• The National Company Law Appellate Tribunal (NCLAT) ruled that Cryus Mistry’s removal as chairman of Tata Sons was illegal.
• Tata Sons has four weeks to appeal the decision at Supreme Court.
• The NCLAT order appears to even go beyond the specific reliefs sought by Mistry, the Tata Sons statement said

The National Company Law Appellate Tribunal (NCLAT) ruled that Cyrus Mistry’s removal as chairman from Tata Sons was illegal and has directed the company to hand him back his position. However, the court has a left window of four weeks for Tata Sons to appeal at the Supreme Court.

As it seems right now, the salt-to-software conglomerate, which also owns companies like the luxury car maker Jaguar Land Rover and the British tea brand Tetley is in no mood to give up.

"It is not clear as to how the NCLAT Order seeks to over-rule the decisions taken by shareholders of Tata Sons and listed Tata operating companies at validly constituted shareholder meetings. The NCLAT order appears to even go beyond the specific reliefs sought by the Appellant," the company’s spokesperson told Business Insider.

But Mistry sees this as a clear win. "Today's victory is not a personal victory for me, but is a victory for the principles of good governance and minority shareholder rights," he said a statement shared with the press.

The Tata vs Mistry battle is far from over

Within two months of his dismissal, Mistry’s family-run investment firms approached the NCLT. Mistry’s primary argument was that his removal as chairman of Tata Sons violated the Companies Act by forcing him to leave without ‘due process’ being followed and also accused the Board of ‘oppression and mismanagement’.

While the lower court, the NCLT, had turned down Mistry’s appeal, today’s victory at the appellate tribunal gives Mistry a second chance to prove his charges against the Board and Ratan Tata.

"The outcome of the appeal is a vindication of my stand taken when the board of Tata Sons, without warning or reason removed me, first as executive chairman, and subsequently as director of Tata Sons," he said.

One of India’s biggest corporate disputes may be tested at the country’s highest court soon.

See also:
Cyrus Mistry can return as Tata Sons Chairman three years after he was thrown out by Ratan Tata

First Cut: The legal implications of Mistry's victory in the case against Tata Sons

The volatile fortunes of low-profile Cyrus Mistry who was made the Chairman of Tata Sons only to be ousted soon after — now he’s fighting his way back