Tata Trusts: Darius Khambata Questions Trustees Over Media Narrative on Board Decisions

As per Times of India report, tensions within the Tata Trusts leadership have surfaced again after trustee Darius Khambata refuted media reports suggesting a takeover attempt. His letter, aimed at fellow trustees, defended recent board-level decisions and called for greater clarity and unity moving forward. 

Khambata Refutes Coup Claims, Calls for Stronger Representation 

 Darius Khambata addressed chairman Noel Tata and four other trustees, dismissing accusations of a coup within Tata Trusts. He criticised the lack of public rebuttal to what he termed a 'doctored narrative' in media reports, stressing that none of the trustees, including himself, intended any hostile takeover. His concern stemmed from events on September 11 when the majority, including Khambata, opposed reappointing Vijay Singh to the Tata Sons board. 

Differing Views on Tata Sons Representation and Its Direction 

Khambata clarified that trustee representation on Tata Sons' board is a responsibility, not a reward. He argued for a strengthened voice for Tata Trusts within the holding company and opposed moves hinting towards listing Tata Sons. He acknowledged that the decision caused strain among trustees, especially affecting Singh, but reiterated it was a principled stance. 

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Trustee Appointments and Disagreements Revealed 

Further, Khambata disclosed that Ratan Tata had once invited him to join the Tata Sons board as a Trusts nominee — a role he declined. During the same September meeting, he and a few others backed Mehli Mistry to replace Singh, a proposal Noel Tata rejected. Additionally, the appointment of Noel Tata’s son, Neville, was cleared only at the Sir Dorabji Tata Trust but faced resistance at the Sir Ratan Tata Trust, signalling ongoing internal discord. 

Clarifications on Support for Noel Tata and SP Group Settlement 

Addressing speculation post-Ratan Tata’s tenure, Khambata rejected reports of trustees vying for control. He stated that he seconded Mehli Mistry’s motion to elevate Noel Tata as chairman and worked to ensure timely appointment. Moreover, Khambata clarified differences with Mistry on settlements involving the Shapoorji Pallonji Group, though both eventually opposed Tata Sons’ listing in July. 

Conclusion 

Darius Khambata’s letter underscores internal disagreements at Tata Trusts while affirming commitment to Trustee principles. The episode sheds light on varied perspectives regarding board representation, succession planning, and strategic direction within the Trusts. 

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