Tata Trusts faces reset after Mehli Mistry exit; Experts see stability ahead

In a conversation with CNBC-TV18, H.P. Ranina, Senior Advocate, Supreme Court, and Thomas Matthew, author of Ratan Tata: A Life, said they believe that Mehli Mistry’s decision to step down from Tata Trusts marks a positive step toward stability and reconciliation within the group’s charitable arm.

Matthew, called it “a very welcome decision” that ends speculation about turmoil within the Trusts. He noted that members are “mature enough to understand that this organisation exists primarily for serving the people of this country and society,” adding that the move reinforces the founding values set by Jamsetji Tata.

Echoing that view, Ranina described Mistry’s move as an act of grace and integrity. “He has said very clearly that the institution is above any individual, and he cares more for the institution rather than his own personal privilege or power,” Ranina said. He added that Mistry’s decision reflected his commitment to safeguarding the Tata Group’s reputation.

After weeks of internal strain, Mehli Mistry wrote to Noel Tata on November 4, stating that he wished to part ways and “put a quietus on speculative news reports that are inimical to the interests of Tata Trusts.”

The Tata Trusts, which collectively hold a controlling stake in Tata Sons, form the cornerstone of the conglomerate’s governance structure. Mistry’s tenure as trustee ended on October 28, with no reappointment announced, marking his formal exit from the board.

The Tata Trusts board is set to meet on November 11, its first session since Mistry’s departure. Trustees expected to attend include Noel Tata, Venu Srinivasan, Vijay Singh, Pramit Javeri, Jehangir HC Jehangir, and Darius Khambata.

Ranina explained that the next step involves procedural formalities with the Charity Commissioner’s Office, which could still seek confirmation of Mistry’s resignation. However, he indicated that the situation is unlikely to escalate legally, given the tone of Mistry’s letter.

Thomas Matthew further clarified that while Tata Trusts hold significant influence, they do not directly control Tata Sons. He said the friction appeared to stem from perceptions over information sharing between the two entities, adding that the matter now seems settled with Mistry’s departure.

The next Tata Trusts board meeting on November 11 could shed light on future governance changes, including whether a new trustee will be appointed.

Ranina suggested that over time, the organisation may review how appointments are structured and how oversight of Tata Sons is exercised.

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