'Not a victory for me, but of good governance': Cyrus Mistry

Full text of Cyrus Mistry's statement, after his dismissal from Tata Sons was ruled illegal; and Tata Sons' statement in response

By Forbes India

Published: Dec 18, 2019 06:22:33 PM IST

Updated: Dec 18, 2019 07:15:51 PM IST

Cyrus Mistry

Today’s judgment is not a personal victory for me, but is a victory for the principles of good governance and minority shareholder rights. For over fifty years, the Mistry family, as the significant minority shareholder of Tata Sons, has always endeavoured to play the role of a responsible guardian of an institution that the entire nation is proud of.

The outcome of the appeal is a vindication of my stand taken when the then board of Tata Sons, without warning or reason removed me, first as the executive chairman, and subsequently as a director of Tata Sons.

My endeavor as Executive Chairman had always been to establish a culture and processes that promote effective board governance to create long term stakeholder value, sustainable profits and growth.

For the Tata Group to prosper as an institution, it is important that the management of individual companies, their Boards, the management of Tata Sons, the Board of Tata Sons and the shareholders of Tata Sons, all work harmoniously within a robust governance framework, that in substance and form, protects the rights of all stakeholders, including shareholders, investors and the Tata Groups employees, who represent the strongest asset of the Group.

I believe it is now time that all of us work together for sustainable growth and development of the Tata Group, an institution that we all cherish.

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'Tata Sons strongly believes in the strength of this case, will take legal recourse'

Statement from Tata Sons: Full text

Tata Sons has received and is analysing the order of the National Company Law Appellate Tribunal (NCLAT). It is not clear as to how the NCLAT Order seeks to over-rule the decisions taken by shareholders of Tata Sons and listed Tata operating companies at validly constituted shareholder meetings. The NCLAT order appears to even go beyond the specific reliefs sought by the Appellant.

Tata Sons strongly believes in the strength of its case and will take appropriate legal recourse. Tata Sons assures its various stakeholders that it not only has always operated in a fair and equitable manner but also acted in accordance with the law and will continue to do so.

Issued by Shuva Mandal, group general counsel, Tata Sons