Mumbai: Anticipating possible litigation by the Cyrus Mistry camp, Ratan Tata and Tata Sons Ltd have filed a caveat petition in Bombay high court, so that they get a chance to be heard.
The caveat was filed on 4 July, the day when the Mumbai bench of the National Company Law Tribunal (NCLT) was expected to rule on the plea filed by Mistry’s companies against Tata Sons and Ratan Tata for the oppression of minority shareholders and mismanagement.
However, the division bench of B.S.V. Prakash Kumar and V. Nallasenapathy said they had to make some corrections, which would require some time, and deferred the ruling to Monday. The bench dismissed Mistry’s petition and said the board has the right to dismiss the chairman.
As per the Bombay high court website, Ratan Tata and Tata Sons have approached the court with a caveat petition and law firm Shardul Amarchand Mangaldas is representing Tata Sons and Ratan Tata in the petition.
“The (NCLT) ruling is in line with the earlier position expressed by the tribunal. An appeal on merits will be pursued," Mistry said in a statement on Monday. “The ruling of the National Company Law Tribunal is disappointing although not surprising," he said.
According to Chandubhai Mehta, managing partner at law firm Dhruve Liladhar & Co, under Section 148(A) of the Civil Procedure Code (CPC), if Mistry or any company controlled by him wishes to approach Bombay High Court to seek any relief against Ratan Tata or Tata Sons, they will have to give 48 hours advance notice to them to ensure the caveator is heard before any order is passed.
Mistry and Tata Sons declined to comment on the petition, while an email sent to Shardul Amarchand Mangaldas remained unanswered till the time of filing this report.