The Tata Sons board will meet on Thursday and will consider taking away embattled chairman Cyrus Mistry's powers of voting and attending shareholder meetings of the group companies. Additionally, the board will also discuss developments in the group companies over the last few weeks, especially since Mistry's ouster on October 24.
Sources aware of the company's developments said that it is a routine board meeting, which has been called to discuss operational matters of the company and that Mistry cannot vote in any case since he is no longer the Tata Sons chairman, the Times of India reported.
The company has issued notices of shareholder meetings of Tata Consultancy Services (TCS), Indian Hotels, Tata Chemicals, Tata Motors and Tata Steel to remove Mistry as chairman and director, but in the case of Tata Chemicals, Tata Steel and Tata Motors, the prior notice also calls for the removal of Nusli Wadia as an independent director.
The Ratan Tata-Cyrus Mistry war has turned murkier with allegations flying both ways. The independent directors of Tata Motors, Indian Hotels and Tata Chemicals have backed Mistry, TOI added.
However, TCS and Tata Global Beverages on Tuesday announced that the company has removed him as its chairman. "After extensive deliberations, and keeping in view the long-term interest and alignment of all stakeholders and stability of the Company, the Board of Directors resolved to replace Mr Cyrus P Mistry as Chairman of the Company, by majority vote, with 7 out of the 10 Directors present at the Board Meeting, voting in favour of the resolution," Tata Global Beverages said in its regulatory filing on Tuesday.
According to reports, following the announcement, Mistry sent out a letter to Tata Global Beverages, terming his ouster as "illegal."