Mistry says NCLT order disappointing, to challenge verdict

Ousted Tata Sons chairman Cyrus Mistry on Monday said he would appeal against the order of National Company Law Tribunal (NCLT) that dismissed pleas challenging his removal.

A statement from Mistry's office described the NCLT, Mumbai, ruling as "disappointing although not surprising".

"We will continue to strive for ensuring good governance and protection of interests of minority shareholders and all stakeholders in Tata Sons from the wilful brute rule of the majority," the statement said.

In a ruling on Monday, the tribunal said it was not accepting Mistry's contentions that his removal was due to the result of mismanagement by the board and oppression of minority shareholders of the group.

"The ruling is in line with the earlier position expressed by the tribunal. An appeal on merits will be pursued," the statement said.

Under the Companies Act 2013, an order of NCLT can be challenged before the National Company Law Appellate Tribunal.

According to the statement, matters like TTSL, Air Asia, 'recovery of dues' from serial entrepreneur C Sivasankaran, non-closure of a loss-making Nano, a struggling resolution of Tata Steel Europe and all present serious issues will be pursued.

"Not only the facts that were under consideration but also subsequent facts and developments that continue to evidence oppression and mismanagement will be under scrutiny and will be pursued in full earnest," it added.

Tata Sons said the NCLT order vindicates that the group and its operating firms have always acted in a fair manner.

Ratan Naval Tata, the chairman of the Tata Trusts, which own over 66 per cent in the Tata Sons, welcomed the NCLT verdict. "The judgement of the NCLT is a vindication of the actions that Tata Sons felt obliged to take in October 2016," Tata, who is the chairman emeritus of the salt-to-software group said in a statement this evening.

"It is a reinforcement of the principles and forthrightness that prevails in our judicial system, which should make all of us proud of our country and its democracy," Tata added.

Tata Sons Chairman N Chandrasekaran hoped "that a finality will be given to the judgement of NCLT, by all concerned in the larger interest of companies, the shareholders and the public".