Ratan Tata asked me to remain on Tata Sons Board as non-executive director, says Mistry

Ousted Tata Sons Chairman Cyrus Mistry has dragged Tata group to the court. In his petition, Mistry said Ratan Tata gave him a choice to remain on the Tata Sons board as a non-executive director. Mistry was offered this post on the day of his ouster.

Mistry had said he would continue to serve on the board of Tata Sons. In his petition to National Company Law Tribunal, Mistry said we would decide on the proposal made by Ratan Tata and inform the board even as Ratan Tata said it would be Mistry’s prerogative.

Reportedly, there were three requests made to Mistry to step down from the board before he was replaced on October 24.

The petition accuses Tata Sons and its board, including interim chairman Ratan Tata, of oppressing the interests of minority shareholders and mismanagement.

"Ratan had mentioned that they need to recognise the work done by Mistry in the last four years and it was important for the group to move forward in as seamless manner as one can,, the petition says.

According to the minutes filed of the board meeting, Mistry was informed before the meeting that Ratan Tata would join them. Nitin Nohria, the Harvard Business School dean who is one of the directors, said Tata Trusts had asked their nominees to bring a motion to the board. The Trusts hold two-thirds of Tata Sons.

At the meeting, Amit Chandra said a meeting of Tata Trusts on the same day had resolved that Mistry should step down. The reason given was that the Trusts had lost confidence in him for a variety of reasons.