SC Judgment Upholds Governance Standards Adopted By Tata Group: Tata Sons

Tata Sons, the holding firm of the Tata group companies, on Friday said the order of Supreme Court in its fight against ousted chairman Cyrus Mistry vindicates its position and upholds the governance standards adopted by the conglomerate over the years.

The apex court set aside the NCLAT order restoring Mistry as the executive chairman of the conglomerate, while allowing appeals filed by the Tata Group.

"The judgment of the Hon'ble Supreme Court vindicates the position of Tata Sons and upholds the governance standards adopted by the Tata Group over the years. Tata Sons is grateful to the Hon'ble Supreme Court," Tata Sons said in a statement.

It further said,"Tata Group remains deeply committed to continue its efforts towards development of the nation and building the business keeping the long-term interest of shareholders and the community at large."

Earlier in the day, Tata group Chairman Emeritus Ratan Tata hailed the Supreme Court order as "a validation of the values and the ethics that have always been the guiding principle of the group."

Appreciating the judgement passed by the court, he said,"After relentless attacks on my integrity and the ethical conduct of the group, the judgement upholding all the appeals of Tata Sons is a validation of the values and the ethics that have always been the guiding principle of the group."

He further said,"It reinforces the fiarness and justice displayed by our judiciary."

A bench of Chief Justice S A Bobde and Justices A S Bopanna and V Ramasubramanian said it is allowing the appeals filed by Tata Group.

The court said, "All the questions of law are liable to be answered in favour of the appellants Tata Group and the appeals filed by the Tata Group are liable to be allowed and those by Shapoorji Pallonji Group are liable to be dismissed."

The apex court had on January 10 last year granted relief to the Tata group by staying the NCLAT order by which Mistry was restored as the executive chairman of the conglomerate.

Mistry had succeeded Tata as chairman of the Tata Sons in 2012 but was ousted four years later, after which bitter legal battles followed.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor