Chief Justice Sharad Arvind Bobde said during the hearing that the tribunal made “an error” in its judgment and the lower court had no power to order the reinstatement of Mistry as Tata Sons chairman.
New Delhi: Tata Group scored a temporary victory in a corporate feud after the nation’s top court said an ousted chairman can’t return to his old job, a move that promises to reduce the legal distractions threatening to stunt growth at the US$111bil conglomerate.
A three-judge Supreme Court bench on Friday put on hold a lower court verdict last month that ordered Tata Sons Pvt, the group’s holding firm, to reinstate Cyrus Mistry as chairman. On Dec 18, the National Company Law Appellate Tribunal said Tata Sons illegally removed Mistry as chairman three years ago at the behest of Ratan Tata, 82, calling the action of the chairman-emeritus “oppressive” to minority shareholders.
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