Tribunal dismisses petition of ex-Tata Sons chair Mistry

An Indian tribunal has dismissed a petition by former Tata Sons Chairman Cyrus Mistry who had alleged oppression of minority shareholders and mismanagement, reports Reuters.

The ruling of the National Company Law Tribunal (NCLT) gave the $100 billion conglomerate an initial win in a drawn-out feud.

The NCLT, a quasi-judicial body for corporate grievances, said it did not find any merit in allegations of mismanagement in Tata group companies.

"The ruling is in line with the earlier position expressed by the Tribunal. An appeal on merits will be pursued," a statement from Cyrus Mistry's office said.

"We will continue to strive for ensuring good governance and protection of interests of minority shareholders and all stakeholders in Tata Sons from the wilful brute rule of the majority," it said.

Cyrus Mistry was ousted from the board of Tata Sons after a four-year stint in October 2016.

He claimed in his petition to NCLT in December 2016 that he was illegally removed as chairman of the software-to-salt conglomerate.

He had also pointed out corporate governance lapses and insider trading in the group.

Tata Sons did not immediately comment on the tribunal ruling, saying it would issue a statement later. The conglomerate has previously refuted all claims made by Mistry.

Mistry's family, through a set of two investment firms, holds around 18 per cent in Tata Sons, making his family the single biggest shareholder of the conglomerate.