NOT INTERESTED TO RETURN AS TATA CHAIRMAN: MISTRY BUT SAYS HE WILL PROTECT THE RIGHTS OF MINORITY SHAREHOLDERS TO THE BOARD SEAT

NOT INTERESTED TO RETURN AS TATA CHAIRMAN: MISTRY

BUT SAYS HE WILL PROTECT THE RIGHTS OF MINORITY SHAREHOLDERS TO THE BOARD SEAT

Tata groups former Chairman Cyrus Mistry said that he is not interested to return and continue the position as chairman of Tata Sons. He added that even though he is not interested he will do everything to protect the right of Shapoorji Pallonji (SP) Group’s as a minority shareholder. The SP group owns a stake of almost 18.5% in Tata Sons. Mistry told that even though he is not pursuing the topmost position at Tata Sons he wanted the company to follow highest standards of corporate governance. He also added that he is not that keen as such to become the director of Tata consultancy Services, Tata Teleservices, or Tata Industries. He is not at all in a quest for position or power.

Mistry said that it is company’s duty to protect the rights of minority shareholders and to strengthen corporate governance. The Companies Act of 2013 has already strengthened considerably the protection of minority shareholders from the oppressive conduct of majority shareholders. In order to strengthen corporate governance the company is supposed to act within the law.

The founders of Tata group has already setted up a strong ethical foundation that was cared by stakeholders. The relationship that exist between Tata group and SP group is based on mutual faith and common agreement. This relationship has been spanning around decades.  A value for all stakeholders was created by the former Tata leaders. Former Tata leaders worked along with minority holders to create a value for all shareholders.

Mistry added that they own 18.37% stake it’s their responsibility to ensure the long term success of the company.  Even though we are a minority stakeholder we are serving as a guardian of Tata group for more than five decades. He also added that this legal fight was never between them. This fight happened and will happen for not protecting the right of minority shareholders and upholding their right to demand a higher standard of corporate governance from controlling shareholders.

Tata group mention its petition before Chief Justice of Supreme Court. It was appealing against the order of NCLAT that restored Mistry as Chairman. Mistry told that he was really very humbled for that order of NCLAT, who reviewed and recognized that illegal way by which he is thrown out from the position of Chairman.