The Supreme Court today stayed an NCLAT order restoring Cyrus Mistry as executive chairman of Tata group, Press Trust of India reported. The court agreed to hear Tata Sons' plea challenging NCLAT order restoring Cyrus Mistry as executive chairman of Tata group.
Tata Sons is the holding company of the $110-billion salt-to-software Tata conglomerate.
Mistry was sacked in 2016 from the top job at the helm of the holding company. Since then he has been embroiled in a legal battle claiming minority shareholder oppression and mismanagement. Mistry's family owns about 18% of Tata Sons.
Tata Trusts, a group of public charities, owns a controlling 66% stake in holding company Tata Sons, and is chaired by Ratan Tata.
Tata Sons had challenged the December 18 decision of the National Company Law Appellate Tribunal (NCLAT) that gave a big relief to Cyrus Investment Pvt Ltd and Mistry, restoring him as the executive chairman of TSPL.
The December order by National Company Law Appellate Tribunal (NCLAT) called the appointment of N Chandrasekaran, after Mistry's removal, illegal.
After NCLAT's order, Mistry had earlier this month said he would not seek to reclaim his board seats and position as executive chairman of the Tata group. "I will not be pursuing the executive chairmanship of Tata Sons, or directorship of TCS (Tata Consultancy Services), Tata Teleservices or Tata Industries," he said in a statement.
Mistry said his company, the diversified Shapoorji Pallonji group, would seek to appoint a member on the board of Tata Sons. (With Agency Inputs)