Top News

The shares of Tata Group companies are largely trading in red ahead of the Tata Trusts meet, which was originally slated for today, but got postponed to May 16.

On Friday, TCS shares declined over 1% to hit an intra-day low of Rs 2,376.10 apiece, while Tata Motors Passenger Vehicle (TMPV) share price fell as much as 1.54% to hit an intra-day low o Rs 353.70 per share.

As of 11:25, the shares of TCS, Tata Motors CV, Tata Steel, and Tata Power were all trading in negative.

This comes in the backdrop of the meeting of two Tata Trusts namely Sir Dorabji Tata Trust (SDTT) and the Sir Ratan Tata Trust (SRTT), which drew enormous attention as it collectively holds a controlling stake in Tata Sons, which is the holding company of India's largest conglomerate was delayed.

The board meet was deferred amid reports of differences between Tata Trusts Chairman Noel Tata and Tata Sons Chairman N Chandrasekaran over governance, leadership and the future structure of Tata Sons.

The postponement of the crucial Tata Trusts board meet is the second such occurrence as it was  earlier advanced from May 12 to May 8.

All Eyes On Tata Trusts Board Meet: What's Likely To Be Discussed

The board meet has gained attention amid reports that the resolution proposing the removal of Venu Srinivasan from the Tata Sons board is likely to be put to vote before the trustees.

Meanwhile, reports claim that Bhaskar Bhat, former Mangaing Director at Titan Company Ltd, is likely to succeed Srinivasan.

Notably, Noel Tata and Venu Srinivasan are on the board of Tata Sons as representatives of Tata Trusts. Bhat is on the board of Sir Dorabji Tata Trust.

The board is also expected to deliberate upon the complaint filed in the Maharashtra Charity Commissioner’s office about the perpetual/ life-term trustees.

The petition, filed by lawyer Katyayani Agrawal of law firm SV & Co, has sought intervention, alleging that Sir Ratan Tata Trust (SRTT), which has three lifetime trustees in a board of six members, violated the provisions of Section 30A of the Maharashtra Public Trusts Act, 1950, citing The Indian Express report.

This section states that perpetual or lifetime trustees can make up only 25 per cent of a public trust’s board. Currently, the ratio is 50% in SRTT.

The petition was filed by Suresh Tulsiram Patilkhede, a resident of Khopoli in Maharashtra’s Raigad district.

The legal trouble for Tata Trusts comes after Venu Srinivasan and Vijay Singh were voted out of the Tata Education and Development Trust (TEDT), after trustee Mehli Mistry opposed their reappointment during the voting process.