Mistry Out as Tata Steel’s Chairman, OP Bhat Given Interim Charge

Mistry was removed as the chairman of Tata Sons and replaced by his predecessor Ratan Tata last month.

Tata Steel on Friday removed Cyrus Mistry as chairman of the company and replaced him with OP Bhat as an independent director in the company.

The company also said that it called for an extraordinary general meeting (EGM) on 21 December to remove Nusli N Wadia as a director of the company.

Last month, Mistry was removed as the chairman of Tata Sons and replaced by his predecessor Ratan Tata as the interim chairman.

Sources close to Cyrus Mistry said that they believed that this decision was an unprecedented erosion of core Tata values, which will be damaging Brand Tata.

Each time one thinks that the current standard of corporate governance in Tata Group listed companies under the leadership of the Interim Chairman (Ratan Tata) cannot hit a newer low, one has been belied.

Sources

The sources added that a circular was initiated to replace the Chairman minutes before a convened and pre-scheduled board meeting.

Those involved are representatives of Tata Sons, those drawing large remuneration from other Tata Trustee-controlled companies, and an “independent” director, who is the wife of a newly-inducted Tata trustee – who is also recently nominated director of Tata Sons.

Sources

Also Read: How To Remove A Chairman: The Tata Sons Way

(With inputs from ANI and PTI)