InvestorQ : What was the dispute between the Tata Group and the Mistry family during the latest AGM of Tata Sons?
Chandralekha Desai made post

What was the dispute between the Tata Group and the Mistry family during the latest AGM of Tata Sons?

Answer
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NISHA Nayak answered.
4 weeks ago


As has been the course of events in the last few years, the bitter tussle between Tatas and Cyrus Mistry came into focus during the AGM of Tata Sons. Mistry used the opportunity to highlight the failures of the Tata Group and how performance had fallen in the past.

Mistry family still remains the largest shareholder in Tata Sons and they expressed concerns over the drop in performance of group companies. The Mistry family also underlined the problem of rising debt burden at two major companies i.e. Tata Steel and Tata Motors.

Mistry family holds 18.5% stake in Tata Sons and Cyrus has always been critical of ventures like the Tata Nano. However, Chandra turned the argument and highlighted that the Tata group was busy cleaning up the mess created by Cyrus Mistry during his 4 years at the helm.

The focus of Cyrus Mistry remained on the auditor remarks which had raised concerns about the ability of Tata Steel Europe and Air Asia to continue as a going concern. On the airline venture, Chandra pointed out that Tata group does not go back on its commitments.

There have been some larger concerns on Air Asia as the current liabilities have exceeded the current assets by Rs.1200 crore and the net worth had been fully eroded. On the positive side, Mistry also lauded the performance of TCOM and Tata Power.