The counsel of former Tata Sons chairman Cyrus Mistry on Thursday told the Mumbai bench of the National Company Law Tribunal (NCLT) that he believes Mistry was ousted because he wanted to probe certain mismanagement in the company.
The case will now be heard from January 8-16.
Arguing for Mistry’s companies, senior counsel C Aryama Sundaram told NCLT, “Various questions were arising for the past six months and just when the chairman wanted it to be looked into, he was thrown out”. Sundaram said three months before his sacking from Tata Sons’ chairmanship, a recommendation committee had taken note of his good work in the company and then suddenly he was told to go on October 24 last year. “The resolution to remove Mistry was not even present in the agenda of the board meeting on October 24,” he said, adding that it was a clear case of oppression of a minority shareholder by majority shareholders.
Mistry’s family firms – Cyrus Investments Pvt Ltd and Sterling Investments Co Pvt Ltd – have 18.4% stake in Tata Sons. The Mumbai bench of the NCLT had on Wednesday started hearing Mistry’s plea alleging mismanagement and oppression of minority shareholders upon direction of the National Company Law Appellate Tribunal (NCLAT) in September to hear the plea on merits and decide the matter within three months.
Source: The Financial Express