Removal From Tata Global Beverages Illegal: Ousted Chairman Mistry
Tata has dealt Cyrus Mistry another blow; Harsh Bhat has replaced him as chairman of Tata Global Beverages Ltd.
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In what comes as yet another blow for Cyrus Mistry on Tuesday, he has now been replaced as chairman of Tata Global Beverages Ltd.
On Tuesday, at a board meeting held in Mumbai, the company’s board of directors decided to replace Mistry as chairman by a majority vote, where 7 out of the 10 directors present at the meeting voted in favour of the resolution.
The board also appointed Harish Bhat, a non-executive director of the company as its new chairman. The changes were made keeping in view the long-term interest and alignment of all stakeholders and stability of the company, the company informed the exchanges.
Soon after, Mistry’s office issued a statement calling his ouster “illegal”. There was nothing on the agenda at the board meeting of Tata Global about the replacement of the chairman, according to the statement.
Two independent directors Darius Pandole and Analjit Singh opposed the bid to replace Mistry, his office said.
Last week, Mistry was replaced as chairman of group company, Tata Consultancy Services Ltd. Tata Sons fired Mistry as chairman and brought in Ratan Tata as interim chairman last month. A five-member search committee consisting of Ratan Tata, Venu Srinivasan, Amit Chandra, Ronen Sen and Lord Kumar Bhattacharyya has been given four months to find a new chairman for the $100 billion conglomerate.
The article was originally published on BloombergQuint.
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