Tata Sons has been stepping up the pressure on Mr Mistry ever since he was sacked as chairman of the company on October 24. It had made several allegations against Mr Mistry, including betraying trust and trying to gain control of major operating firms, concentrating powers and using free-hand given to him to weaken management structures of the Tata Group.
Last week, in a letter to shareholders of the companies, Tata stated that the continued presence of Mr Mistry in their respective boards was a serious “disruptive influence” and could make the companies “dysfunctional”.
Market observers said the voting pattern of the non-promoter group will give an indication of the level of support Mr Mistry enjoys from shareholders in general, which in turn could set the tone for other such EGMs that are to follow.
Mr Mistry has vehemently denied all the allegations and stated that he was pushed to the position of a “lame duck chairman” and changes in the decision making process created “alternate power centres” in Tata Group.
In a dig at Mr Tata, he also alleged that individuals prone to “impulsive control” have exposed the Tata Group to perilous violation of regulatory requirements and his fight was to protect the conglomerate from “capricious” decision-making by interim chairman Ratan Tata.
(Sourced from agencies, feature image courtesy:swarajyamag.com)
