A BRIEF DESCRIPTION OF THE TUSSLE BETWEEN TATA AND SONS AND CYRUS MYSTRY.

1. TATA VS MISTRY CASE STUDY
PRESENTED BY-
ARWA KACHWALA 61
PARESH KAMBLE 63
PRESENTED TO - DR. BINA GUPTA , LLIM. 1

2. Index
2
SR.
NO
PARTICULARS SLIDE
NO
1 Company Profile 3
2 Cyrus Mistry 5
3 Controversy 6
4 Reasons For The Controversy 8
5 Impact 9
6 How Was It Rectified 10
7 Recommendations 11
8 References 12

3. Company Profile
● Founded by Jamsetji Tata in 1868, the Tata group is a global enterprise
● Mission 'To improve the quality of life of the communities we serve globally,
through long-term stakeholder value creation based on Leadership with Trust'
● Tata Sons -principal investment holding company and promoter of Tata companies.
● There are 29 publicly-listed Tata enterprises .
● Each Tata enterprise operates independently under the supervision of its own
board of directors and shareholders.
3

4. TATA Products
4

5. Cyrus Mistry
● Mistry graduated with a degree in civil engineering from Imperial College London,
UK, in 1990.
● In 1997, he received an MSc in management from the London Business School.
● Mistry serves as the co-chair of the India-US CEO Forum and the India-UK CEO
Forum.
● Mistry was earlier managing director of the Shapoorji Pallonji Group.
5

6. Controversy
6
Source- Economic Times, dated Jul 10, 2018,

7. 7
The Boardroom
Battle
• Cyrus vs Tata on “lame
duck”chairman.
• Tata questions Mistry`s
performance.
• Mistry`s shock on his
ouster.
• Mistry vs Tata on
accusation of personal
rivalry.
Source- Forbes(India), dated Dec 12, 2016

8. Reasons for the Controversy
● Conflict of interest-Orissa elections.
● Failed to dissociate himself from the self held family business.
● Mistry's decisions to acquire assets without seeking an approval from the Board and
investors.
● Nudging the Tata company CEOs to change focus.
8

9. Impact
● Reputation was the biggest casualty in Tata Group tussle.
● On October 26, 2016 ;Stocks of listed Tata Companies fell by 3.16%
● Raised questions about corporate governance practices in India.
9

10. How Was It Rectified?
● Tata and Sons filed a caveat in the Supreme Court, High Court and the National
Company Law Tribunal (NCLT) so that no ex-parte order can be passed.
● January 12, 2017: Tata Sons names N Chandrashekaran as Chairman.
● February 6, 2017: Mistry removed from the post of director of Tata Sons' board.
● September 21, 2017: Tata Sons' board approves plan to become a private company.
10

11. Recommendations
11
Source- Economic Times dated Nov 22, 2016

12. 12
References
● https://economictimes.indiatimes.com/articleshow/55550768.cms?
utm_source=contentofinterest&utm_medium=text&utm_campaig
n=cppst
● https://www.hindustantimes.com/analysis/a-leader-must-
command-trust-lessons-for-india-inc-from-tata-mistry-fight/story-
mFcPHrrZjsAy5eSkxBDP6O.html
● https://www.financialexpress.com/industry/ratan-tata-cyrus-
mistry-spat-how-change-of-guard-can-snowball-into-global-
controversy/458619/

13. 13
Thank you