No delay in listing plea on encumbrance, says Tata Sons1 min read . Updated: 21 Sep 2020, 07:02 AM IST
The SP Group had on 15 September sent a legal notice to the Tata Sons board alleging that the application has caused irreparable damage
The Tata group reiterated on Sunday that there was no delay in listing the application in the Supreme Court that seeks to prevent Shapoorji Pallonji group from raising capital by pledging their shares in Tata Sons Ltd.
Tata Sons had on 3 September filed the application in the top court to restrain Mistry firms Cyrus Investments and Sterling Investments from pledging their shares. It was mentioned on 4 September, re-mentioned and served to SP Group on 5 September. In the application, Karanjwala and Co., representing Tata Sons said that the move was a violation of Tata Sons’ Articles of Association as it had the first right to buy the shares at fair market value. “SP Group’s assertion that there was a deliberate delay in listing the matter in the apex court by Tata Sons is completely false and unfounded," said a person familiar with the matter, requesting anonymity. SP Group firms hold a combined 18.4% stake in Tata Sons.
The SP Group had on 15 September sent a legal notice to the Tata Sons board alleging that the application has caused irreparable damage. “The allegation that the listing of the application was somehow deliberately delayed is false and unfortunate and has been made without adequate enquiry in the court registry," said Tata Sons on Friday in its response to the legal notice. The matter was listed on 11 September when it did not come up. The matter is listed to be heard on 22 September, Tatas added in their reply.