Days before Mehli Mistry’s three-year tenure is to get over, Tata Trusts has suggested re-appointing him as a lifetime trustee, according to a PTI report on 23 October. On October 28, Mistry’s tenure at the Sir Dorabji Tata Trust and Sir Ratan Tata Trust, the two main trusts that own the majority of Tata Sons, comes to an end. The reappointment attempt coincides with rumours of a split among the trustees over their terms, with some allegedly siding with Mistry, who is perceived as a loyalist to Ratan Tata, and others with Noel Tata, who took over as chairman following the latter’s passing.
Mistry’s Connection with Shapoorji Pallonji family
Additionally, Mistry is linked to the Shapoorji Pallonji family, who own about 18% of Tata Sons, the holding company of the software-to-salt conglomerate. The plan comes after business magnate Venu Srinivasan was named a lifetime trustee earlier this week.
Srinivasan’s reappointment as trustee and vice-chairman of Tata Trusts was approved by Mistry and three other trustees, Pramit Jhaveri, Jehangir HC Jehangir, and Darius Khambata, according to PTI, which cited sources. However, under the condition that all future trustee renewals be approved unanimously, failing which their approvals would be withdrawn.
The demand from the Mistry camp reveals a disagreement among trustees on how to interpret the lifetime trusteeship resolution that was adopted following Ratan Tata’s passing last year. According to a Business Standard report, one party contends that lifelong trusteeship ought to happen automatically at the conclusion of a trustee’s term, while another group feels that a trustee’s tenure must be extended before obtaining lifetime status.
The Resolution of Lifetime Membership
According to the resolution authorising lifetime trusteeship, a trustee will be reappointed by the relevant trust upon the expiration of their term, with no time limit on the reappointment, in compliance with the law, a source told Business Standard. As Tata Trusts manages leadership changes in the wake of Ratan Tata’s death, the problem highlights a broader discussion about governance, continuity, and legacy inside the organisation.
The Sir Dorabji Tata Trust and the Sir Ratan Tata Trust are two of the charitable trusts that are under the management of Tata Trusts. Additionally, the organisation owns a 66% share in Tata Sons, the primary holding company that owns stock in every Tata Group company.
The report states that the original meeting, which took place on October 17, 2024, decided that a trustee’s term should be extended by the trust in question, with no time limit on this appointment.
A trustee would violate the commitment and be unfit to serve at “Tata Trusts by such conduct,” according to the report, if they decide to vote against this resolution.
Quick Shots
•Tata
Trusts has proposed reappointing Mehli Mistry as a lifetime trustee, days
before his three-year term ends on October 28.
•The
proposal covers the Sir Dorabji Tata Trust and Sir Ratan Tata Trust, the two
major trusts holding a 66% stake in Tata Sons.
•Reports
suggest differences among trustees—some supporting Mistry (seen as a Ratan
Tata loyalist), others backing Noel Tata.
•The lifetime trustee resolution
allows reappointment without time limits, as per legal compliance.
As the 157-year-old Tata organisation, the biggest corporate conglomerate in the nation, negotiates intricate shareholder disputes and strategic choices, a number of changes within the organisation are garnering fresh attention. The firm has been embroiled in fresh scandals since the death of seasoned businessman Ratan Tata last year, involving everything from domestic family conflicts to government interference.
The main cause of the current commotion is the possible departure of Tata’s biggest and oldest shareholder, the Shapoorji Pallonji (SP) Group. As of 1936, the SP Group had an 18.37% ownership holding in Tata Sons. Tensions erupted in 2016 during the well-known Cyrus Mistry-Ratan Tata case, which went to the Companies Tribunal and then the Supreme Court, where Tata Sons prevailed. The relationship had been characterised by friendly relations for decades.
SP Group Navigating Through Financial Crunch
Ten years later, tensions between the two families have returned, this time in relation to Mehli Mistry and Noel Tata. According to reports, Tata Sons has started looking into ways to permanently address these problems, such as maybe purchasing the SP Group’s holding.
In order to reduce its financial risk, the SP Group, which has substantial debt commitments, has indicated a desire to sell its shares in Tata Sons. However, corporate governance regulations impede any escape. Since the SP Group is a promoter with a holding greater than 10%, any acquisition or disposal must go by the rules of the Reserve Bank of India, Tata Sons’ articles of association, and general business standards.
Options Available for SP Group to Strike the Deal
The first option is for Tata Sons to buy all of the SP Group’s shares directly. The 36% capital gains tax that the SP Group will pay on the acquisition, which might total thousands of crores, is the reason for the opposition to the agreement, which is anticipated to cost about INR 3 lakh crore. Converting the SP Group’s investment into stock in Tata companies like Tata Steel or TCS is the second option. This would enable the SP Group to pay off its $1 billion debt that is due in 2026 by progressively realising funds.
However, such an exchange is now prohibited by Tata Sons’ current Articles of Association; thus, rule revisions are required. Thirdly, the SP Group could divest to a private equity fund or another external investor. This strategy saves Tata Sons money but also necessitates the conglomerate’s public listing—a step that has long been opposed in order to preserve the group’s private status.
Fourth, the SP Group would have a formal way out if Tata Sons were listed. However, the Tata Trusts, which own the group and have been adamant about maintaining its private ownership, have prevented this possibility from happening. Experts predict that any resolution will be drawn out and dependent on regulatory clearances, particularly those from the Reserve Bank of India and possibly the Supreme Court, given these limitations.
Quick Shots
•P Group has held an
18.37% stake in Tata Sons since 1936, marking nearly a century of
partnership.
•Relationship soured
after the Cyrus Mistry–Ratan Tata dispute (2016), which reached the Supreme
Court, ruling in Tata Sons’ favour.
•Current friction
reportedly involves Noel Tata and Mehli Mistry, reigniting differences
between the two families.
•Facing
heavy debt obligations, SP Group is looking to offload its Tata Sons stake to
reduce financial strain.
Shapoor Pallonji Mistry is the present leader of the Shapoorji Pallonji Group, an inheritance that can be defined as resilience, ambition, and determination attached to the family legacy. Born to a family that has had a say in the industrial landscape of India for almost a century, Shapoor Mistry inherited the famed 157-year-old conglomerate known for its distinction in engineering and construction. Indeed, with all those landmark projects and global expansion under his belt, he managed to preserve the excellence ethos of the group, even amid such changing business landscapes.
As far as personal experiences go, Shapoor has seen his share of challenges—from monumental family tragedies to what business controversies. Today, he does not just hold a legacy up in the air; instead, he is making a future trail that can lead people by moving further up ahead into more innovativeness as the world changes.
Shapoor Mistry’s journey—a tapestry of grit and humility—casts a narrative that cannot be more life-affirming. This feature from StartupTalky delves into Shapoor Mistry’s biography, tracing his path as he led the Shapoorji Pallonji Group to new heights, as well as uncovering challenges he faced in balancing tradition with innovation.
Shapoor Mistry – Biography
Name
Shapoor Pallonji Mistry
Birthdate
September 1964
Parents
Father: Pallonji Mistry , Mother: Patsy Perin Dubash
Siblings
Brother: Late Cyrus Mistry, Sister: Laila and Aloo
Shapoor Mistry began his career by joining the family business. Here he was actively involved in several sectors, which became the primary focus of his journey during the company’s expansion.
Mistry’s role grew significantly when he took on the leadership of the family business, overseeing the strategic direction and operations of the diversified businesses with the conglomerate. His career saw a strong focus on executing landmark projects and growing the company’s global footprint, especially in the real estate and infrastructure sectors. Under his guidance, the group expanded and became one of the most influential construction companies in India.
Shapoor Mistry – Personal Life
Born in September 1964, Shapoor Mistry was one of the 4 children of Pallonji Mistry and Patsy Perin Dubash. With his 3 siblings, 2 sisters, and a late brother, he grew up in a Zoroastrian family. The values of discipline, humility, and hard work were deeply rooted and have a great impact on the life of Shapoor today. Deeply rooted in India’s Parsi community, the Mistrys are famous for business and philanthropy. They have been regarded as belonging to the line of the Persians, who fled Persia back centuries ago.
Moreover, Shapoor pursued his early education in Indian before, and then he moved to the United Kingdom to study at the Richmond Upon Thames College. His international education allowed him to learn more about the global perspective and gain the skills that are required to lead the family’s vast and diversified business empire.
Shapoor Mistry is an Irish citizen and is married to Parsi lawyer Rusi Sethna’s daughter, Behroze Sethna Mistry. Shapoor has a son named Pallon Mistry, who is among the late brother’s sons and is involved in the family business. Shapoor and Behroz also have a daughter together, named Tanya Mistry.
At Richmond-Upon-Thames College, Shapoor acquired the skills to lead the family’s diverse business empire. Being one of the richest men, he has kept a low public profile. Shapoor tends to stay out of the spotlight of media and allows his work and decisions to speak for him, his family, and the business. He is referred to as the “Phantom of Bombay House” for his powerful role as the biggest shareholder of Tata Sons.
The family values are closely linked to Shapoor’s personal life. For him, the family has always been a priority, and this reflects an evident step towards carrying the family responsibilities forward after the sudden demise of his father and brother. These events tested his emotional strength, but they also propelled him to move towards creating a high-profile position of leadership in the family business.
The family’s personal losses have not deterred Shapoor from honouring the legacy of the Mistrys. He has also taken steps to stabilise the debt-laden group, delegating responsibilities to his and the late Cyrus’s sons to make sure the business remains in capable hands. This does not only reflect Shapoor’s decision towards empowering the next generation but also preserve the legacy of the family.
Apart from work, Shapoor is known for his private and understated lifestyle. He avoids the spotlight of the media and is deeply respected in business circles. He has a focus on extending his business beyond, and he is actively involved in the welfare of his family as well.
Shapoor’s life exemplifies the concept of grit and dedication, whether it be in handling the 159-year-old business empire or as a stronghold for his family. The Mistry family tradition will thrive as long as forward thinking is seen in the continuity of its tradition, integrity, and culture through personalities like Shapoor.
Shapoor Mistry’s Family
Shapoor Mistry – Career
Shapoor Mistry currently leads the Shapoorji Pallonji Group. Under his able stewardship, this giant conglomerate led by one of the oldest made major restructuring decisions. The present chairman of the group has, through this effort, made it very important to sustain the heritage of the organisation while expanding it all over the world.
In the year 2021, Shapoor and his late brother Cyrus decided to restructure the company into two distinct holding companies, namely S.P. Finance and S.C. Finance. The companies were reconstructed with a vision to better manage their real estate and infrastructure businesses. This reorganisation was supposed not only to solve the problems associated with long-term investments but also to maximise operational cash flow.
Shapoor Mistry has also undertaken an exercise in brand revamping where subsidiaries like Afcons Infrastructure and Forbes Gokak were brought under the SPG brand to re-engineer their business model. The new logo, accompanied by the tagline “Built to Last,” defined the forward-thinking approach that this group represented. Shapoor is keenly working towards increasing the international presence of SPG. The company has spread its wings widely across Asia, Africa, and the Middle East. It now focuses on growing and expanding in emerging markets with the highest degree of sensitivity toward the technological front. Under Shapoor’s leadership, SPG has also focused on diversification.
In addition, the Mistry family holds an 18.4% stake in Tata Group’s parent company, Tata Sons. Again, these two business families are deeply bound together.
Shapoor Mistry had been an important figure in the company Shapoorji Pallonji Group. Shapoorji Pallonji Group had been important to Shapoor Mistry. Quite a few controversies have occurred. Especially, the removal of Cyrus Mistry forced the family into a heated legal battle over what happened after Cyrus Mistry was removed as the chairman of Tata Sons. The Mistry family, having an 18.4% stake in Tata Sons, is long associated with the group. The climax of this rift came with the family wanting to dissolve its bonds with the Tatas, citing broken trust and the dangerous consequences of further delegitimisation.
Post this, the family moved to the National Company Law Tribunal for oppression and mismanagement. The situation became worse, also aggravated by the Supreme Court judgement in favour of Tata Sons, which further consolidated Ratan Tata’s position in the company.
This sequence of events brought Shapoor Mistry and the business dealings of his family into the limelight, particularly their big stake in Tata Sons.
Shapoor Mistry – Investments
Shapoor Mistry’s investments span multiple sectors, which include construction, real estate, and infrastructure. The group is itself known for holding a sizeable stake in Tata Sons. His family was ranked 13th on the Forbes list of India’s 100 richest as of 2024, with a net worth of about $20.4 billion.
Indeed, he was busy streamlining his investments and announced the divestment of assets worth up to INR 95,000 crore.
Shapoor Mistry – Awards and Recognitions
Forbes ranked Shapoor Mistry #332 in their 2023 World’s Billionaires List, totalling $7 billion in net worth.
Shapoor Mistry – Interesting Facts
Shapoor Mistry oversees the 159-year-old engineering and construction powerhouse, Shapoorji Pallonji Group.
Shapoor Mistry shares the Shapoorji Pallonji group with the family of his late young brother, Cyrus Mistry
The most valuable asset of the family is their 18.4% stake in the Tata Sons.
Shapoor had profound personal losses in the year 2022. He lost his father, Pallonji Mistry, in June 2022. Tragedy struck again in September 2022, when he lost his younger brother in a car accident at the age of 54.
The Mistry family follows the Parsi tradition of repeating the first names in subsequent generations. Therefore, there are many Shapoorji and Pallonji as their first names in the family of Shapoor Mistry.
FAQs
Who is Shapoor Mistry?
Shapoor Mistry controls the 159-year-old engineering and construction giant Shapoorji Pallonji Group.
What is the Shapoorji Pallonji Group?
The Shapoorji Pallonji Group is a large, diversified conglomerate based in India. It’s involved in various sectors, most notably construction and real estate. They are known for iconic projects like the Reserve Bank of India building and the Taj Mahal Palace Hotel.
What is Shapoor Mistry’s role in the Shapoorji Pallonji Group?
Shapoor Mistry led the Shapoorji Pallonji Group as its chairman. He plays a crucial role in expanding and diversifying the group’s businesses.
We continue this foray to gain insight into the Indian businesses that have not only sustained through the years but have successfully stayed relevant in a continuously changing market scenario. This is a brief look at those Indian companies and the feeling of pride they instill in the citizens of this country.
Touted as one of India’s most valuable private enterprises, it was founded as a partnership firm by the name of Littlewood Pallonji in 1865. The firm’s first-ever project was to construct a pavement on Girgaum Chowpatty in the city of Mumbai. This was swiftly followed by being a part of reservoir construction on Malabar Hill. This reservoir has supplied water to the city of Mumbai for over a century. Over the years the company went on to build the famous Brabourne Stadium in Mumbai and the Jawaharlal Nehru Stadium in Delhi as well as the Mumbai Central Railway Station. Shapoorji Pallonji has also built the Barakhamba Underground Station in Delhi and Providence Stadium in Guyana.
A company that began its business operations as a construction firm has now grown to include real estate, textiles, engineered goods, home appliances, shipping, publications, power, and biotechnology. It has expanded its footprint to more than 50 countries across Europe, America, and Australia. It also has a significant presence in the Middle East and Africa. It now delivers end-to-end solutions in Engineering and Construction, Infrastructure, Real Estate, Water, Energy, and Financial Services.
The Shapoorji Pallonji Group has two listed companies – Forbes & Company Ltd and Gokak Textiles. Apart from these, the Group also operates various other subsidiaries and companies under its umbrella.
Forbes & Company Ltd
Erstwhile Forbes Gokak Limited was established in 1767, and the management of the company eventually moved into the hands of the Shapoorji Pallonji Group. It is an engineering company and listed on the Bombay Stock Exchange since the year 1919.
Gokak Textiles
Established in the year 1887, the company is a specialist manufacturer of grey yarn and one of India’s largest exporters. It also supplies bamboo textile towels including other products.
SP Engineering & Construction
The company’s business operations include end-to-end solutions in engineering and construction within India.
Shapoorji Pallonji Business Empire (150+ Years) | How big is Shapoorji Pallonji Group?
Eureka Forbes Limited
A well-known household name, the company is engaged in making water purification devices, vacuum cleaners, air purification systems, and home security products.
SP Investment Advisors
This company is a synergistic expansion to the group’s existing real estate development and contracting businesses. This business allows the group to offer services as a fully integrated real estate development and investment advisory platform.
SP Oil & Gas Pvt. Ltd.
The company is a designer, fabricator, owner, and operator of cutting-edge floating technologies within the country.
SP Real Estate
The company is a well-known and well-regarded business operator within the real estate sector of India. Its business operations include creating opulent skyscrapers, affordable housing, and functional workspaces.
Apart from these, the other subsidiary companies include Shapoorji Pallonji Ports Ltd, Afcons Infrastructure, Forvol International Services, Sterling & Wilson, SD Corporation, Oman Shapoorji Co., and NextGen Publishing.
Jamsetji Tata, sometimes referred to as the ‘Father of Indian Industry’ founded the Tata Group in 1868, headquartered in Mumbai. Its beginning was as a humble trading house. A few years later, in 1874, he established a textile mill in Nagpur, which was the turning point for him and the business. This was followed by Jamsetji building the famous Taj Mahal Hotel, Colaba in 1903, which became the first hotel with electricity in British India. Tata Steel, erstwhile TISCO, was established by Dorabji Tata in 1907. The year 1932 also saw the founding of Tata Air Services which was later renamed as Tata Airlines.
Over the years, the company recognized the changing market and consumer scenario as well as advancing technology and re-invented its business operations to include and expand into newer ventures. It has slowly and steadily grown to become India’s largest conglomerate with products and services in more than 150 countries. The group’s business operations span 100 countries across 6 continents. With the group’s annual revenue recorded as USD 128 billion in FY 2021-22, each of the Tata Group companies functions individually under its board of directors and shareholders. The philanthropic trust, Tata Trust controls 66% of the holding company Tata Sons.
Of the Tata Group’s many and varied companies, 29 companies are publicly listed with a combined market capitalization of USD 311 billion as of March 2022. The affiliated companies of the Tata Group include –
Tata Advanced Systems
The company is engaged in the Aerospace and Defense sector
Tata International Group
This company’s business operations include leather products and global trading through various subsidiaries
Tata Consultancy Services
This is the information technology arm of the group
Tata Elxsi
Similar to TCS, this is also the information technology arm of the group
Tata Steel
The name of the company is self-explanatory as to the nature of the business
Tata Electronics
The business operations include Electrical and Electronics
Tata Power
This company too operates in the Electrical and Electronics sector
Tata Projects & Tata Consulting Engineers
Both these companies individually operate in the engineering space
Tata Housing, Tata Realty & Infrastructure, and Hemisphere Props
The Real Estate arm of the Tata Group is handled by these three companies.
Tata Motors
The company is engaged and operates in the automotive sector
These companies work in the financial services sector.
Indian Hotel Company, Taj Air, Air Asia India, Air India Limited, and Vistara
These companies operate in the Travel and Tourism sector.
Tata Communications, Tata Teleservices, Tata Play –
The telecom and media sector is successfully traversed by these companies.
Tata International, Tata Industries Ltd., And Panatone Finvest
These are the companies that are engaged in the trading and investments business.
Tata Digital
It operates in the digital space.
Over the years, the Tata Group has also acquired many businesses within the group’s fold and has helped establish and finance several research, educational, and cultural institutes within the country. Some of these institutes are the Indian Institute of Science, Tata Institute of Fundamental Research, National Center for Performing Arts, Tata Memorial Hospital, Tata Cancer Hospital, etc.
Dr. S. K. Burman founded Dabur Ltd., in the year 1884. He was a qualified physician and an Ayurvedic practitioner who formulated Ayurvedic medicines for illnesses like cholera, constipation, and malaria. He went on to mass-produce his ayurvedic formulations and sell them under the brand name Dabur, a name he earned from his patients.
It was C. L. Burman who first set up the company’s Research and Development unit and his grandson G. C. Burman moved the company’s headquarters from erstwhile Calcutta to Delhi due to an unpleasant workers’ unrest. The company was among one of the first businesses in India that separated family ownership from management as they successfully handed over the management of the company to professionals in the year 1998. In the year 1997, the company set up a wholly-owned consumer goods subsidiary called Dabur Foods. Under Dabur Foods, the group launched the popular fruit juice brand Real. Dabur Ltd. also acquired a 51% stake in the Indian spices company Badshah Masala. In the year 2003, it also demerged its pharmaceutical business and established it as a separate company called Dabur Pharma Ltd.
The current chairman Dr. Anand Burman and the vice-chairman Amit Burman are the fifth generation of the family at the helm of the company. Dabur Ltd., is one of the largest FMCG companies in the country that records 60% of its revenues from the consumer care business, 11% from the food business, and the remaining from its international business unit. The Dabur Group operates three subsidiaries called Dabur Research Foundation, Aviva India, and H&B Stores Ltd and also drives its corporate social responsibility initiatives through Dabur’s Sustainable Development Society (Sundesh).
Indian industrial history is as rich and deep as its culture and tradition. The country’s homegrown brands have traveled a long and winding road through the years and emerged successfully into a world that is driven by technology, information, and data. Part III of this article covers more indigenous brands and their journeys….
FAQs
Who is the founder of Tata Group?
Jamsetji Tata, sometimes referred to as the ‘Father of Indian Industry’ founded the Tata Group in 1868.
Who are the current chairman and vice-chairman of Dabur Ltd.?
The current chairman Dr. Anand Burman and the vice-chairman Amit Burman are the fifth generation of the family at the helm of the company.
What is Gokak Textiles about?
Established in the year 1887, the company is a specialist manufacturer of grey yarn and one of India’s largest exporters. It also supplies bamboo textile towels including other products.
Cyrus Pallonji Mistry was an Indian-born Irish businessman. He was the sixth chairperson of the Tata Group, an Indian Business Conglomerate for nearly five years. Furthermore, Cyrus Mistry was the second individual to run the corporation who did not have the surname Tata, following Nowroji Saklatwala, an Indian businessman.
Through his company, Cyrus Investments Pvt. Ltd., he held an 18.4% stake in Tata Sons. Recently, his untimely demise has left the nation in shock with many businesspeople and politicians condoling his unfortunate demise. Cyrus Mistry had a net worth of about $10 billionat the time of his death.
Let’s take a read through Cyrus Mistry’s successful journey of becoming an Indian-Irish Businessman and all the key aspects of his career, education, and many more interesting facts.
Cyrus Mistry Killed in Car Accident | PM Modi Calls it a Big Loss to the World of Commerce
Cyrus Mistry – Personal Life
Cyrus Mistry was born in Mumbai, Maharashtra, to a Parsi family, as the younger son of Indian billionaire and construction magnate Pallonji Mistry and his wife Patsy Perin Dubash. Cyrus Mistry’s father, Pallonji Mistry, was the head of the Shapoorji Pallonji Group, a multinational corporation founded in the 19th century by Pallonji Mistry’s grandfather.
The Mistry family was a part of Mumbai’s Parsi community, Zoroastrian followers who had prospered as merchants and entrepreneurs since colonial times. Both of Cyrus Mistry’s parents are Zoroastrian and have origins in India. His mother, on the other hand, was born in Ireland, and his father decided to get Irish citizenship. Cyrus has three siblings, Shapoor Mistry, his elder brother, and two sisters; Laila and Aloo. Laila is married to Rustom Jehangir, a portfolio fund manager in London. Aloo is married to Noel Tata, Ratan Tata’s half-brother.
Cyrus Mistry’s grandfather, Shapoorji Mistry, initially purchased a share in Tata Sons in the 1930s. Mistry’s father had a shareholding, which today stands at 18.4%, and it is the largest block of shares held by a single entity.
Cyrus Mistry and His Wife, Rohiqa Chagla
Cyrus Mistry married Rohiqa Chagla, the daughter of barrister Iqbal Chagla and granddaughter of M.C. Chagla, a former Minister of External Affairs of India. Iqbal Chagla also advised Cyrus Mistry on the best line of action in his legal dispute with Tata Sons. Firoz Mistry and Zahan Mistry are the sons of Cyrus Mistry and Rohiqa Chagla.
Cyrus Mistry had his formal education at the reputed Cathedral & John Connon School in South Mumbai.
In 1990, he received a Bachelor of Engineering in civil engineering from the University of London after studying at Imperial College London. Later, he attended London Business School and received an International Executive Master in Management from the University of London in 1996.
Cyrus Mistry – Career
Cyrus Mistry joined the family firm as the Director of Shapoorji Pallonji & Co. Ltd. in 1991. Three years later, he was named the group’s Managing Director. His father, Pallonji Mistry served on the board of Tata Sons.
After his father’s retirement, Cyrus Mistry joined Tata Sons’ Board of Directors in September 2006. From September 1990 to October 2009, he was the Director of Tata Elxsi Limited, and he was also the Director of Tata Power Co. Ltd till September 2006. In addition, Cyrus Mistry was the chairman of all major Tata corporations, including Tata Consultancy Services, Tata Motors, Tata Industries, Tata Steel, Tata Teleservices, Indian Hotels, Tata Global Beverages, and Tata Chemicals.
Regardless, in October 2016, the members of the Tata Sons Board agreed to dismiss Cyrus Mistry as the Chairman of Tata Sons over some disagreements with his way of handling the business of the company.
Besides serving as the Chairperson of Tata Group, Mistry was also a non-executive director at Forbes Gokak Ltd and a senior vice-president for operations and planning at Convergence Media Pvt Ltd and UTV Toons India.
Cyrus Mistry – Controversy
Cyrus Mistry Controversy with Tata Sons
Cyrus Mistry’s relationship with Tata Sons got stained when he was abruptly dismissed from his post of Chairman by the Tata Sons Board on the 24th of October, 2016.
The reason put forth by the Tata Group is that Cyrus Mistry failed to manage the company’s operations in an appropriate manner such as the dispute with NTT DoCoMo, due to which they had to decide to terminate him from the company after offering him the chance to resign voluntarily. As a result, Cyrus Mistry started a legal fight with Tata Sons.
In July 2018, the National Company Law Tribunal (NCLT), which condemns disputes about Indian firms, announced a decision in favour of Tata Sons on mismanagement claims filed by Mistry in 2016, two months after his ouster as Chairman via a vote of no confidence. This wasn’t the end, as Cyrus Mistry challenged the verdict and decided to appeal against the decision.
After his appeal against the order, the National Company Law Appellate Tribunal (NCLAT) restored Mistry as Tata Sons’ Chairperson for the remainder of his tenure in 2019. NCLAT claimed that the nomination of TCS CEO Natarajan Chandrasekaran as Tata Sons’ executive chairman was invalid. In one month, Tata Sons appealed to the Supreme Court of India against the NCLAT’s verdict. However, Mistry had remarked that he would not return to the Chairmanship of the conglomerate and instead wanted to have his membership on the company’s board. With all these happenings, the SC’s order did come in favour of the Tatas, however, they had also ruled out that Tata Sons would not use its jurisdiction under Article 25 of the Firm Law to force minority shareholders out of the company.
The legal battle continued for another two years. Finally, the Supreme Court denied Mistry’s review petitions against its own verdict in 2021, which supported the group’s decision to remove him as the chairman, in its final judgment on May 20, 2022. With this, the six-year court fight between the Mistrys and the Tata Group concluded.
Cyrus Mistry founded Tata Digital Healthcare in 2015 to offer healthcare services based on analytics and electronic medical records, as well as mobile tracking of health and wellness metrics. Tata Health is the company’s new name for its digital healthcare initiative.
Cyrus Mistry was a soft-spoken person.
He was fond of SUVs and horse racing.
Cyrus Mistry was a fitness freak who wished to live for many years.
He was a fellow member of the Institution of Civil Engineers.
Cyrus Mistry was the first non-Indian citizen to lead the Tata Group.
Cyrus Mistry set up a venture capital firm Mistry Ventures LLP in 2018 along with his elder brother, Shapoor Mistry.
Conclusion
Cyrus Mistry’s untimely death has undoubtedly seized the nation’s attention. Prime Minister Narendra Modi also expressed his grief and regarded Cyrus Mistry as a promising business leader who was greatly responsible for India’s economic growth.
FAQs
Who was Cyrus Mistry?
Cyrus Mistry was an Indian-born Irish businessman. He was the Managing Director of the construction giant, Shapoorji Pallonji Group and is most popularly known as the only non-Indian to serve as the Chairperson of India’s prominent conglomerate, the Tata Group from 2012 to 2016.
Who died in Cyrus Mistry’s car accident?
Cyrus Mistry and Jhangir Pandole died in a car accident on September 4, 2022. The car hit the road divider on the bridge on the Surya river, leading to the death of the two on spot. The car was driven by a Mumbai-based gynaecologist, Anahita Pandole.
Why was Mistry removed from Tata?
The reason for the removal of Cyrus Mistry from his position in the Tata Group was mainly due to disagreements over the running of the conglomerate.
Is Cyrus Mistry related to Ratan Tata?
Apart from being the Chairperson of Tata Sons from 2012 to 2016, Cyrus shares another relationship with Ratan Tata. Cyrus’s sister, Aloo is married to Noel Tata, who is the half-brother of Ratan Tata.
