Noel Tata challenges Chandrasekaran's reappointment as Tata Sons chairman, seeks board meeting video
Tata Trusts chairman Noel Tata has challenged the resolution to reappoint N Chandrasekaran as chairman of Tata Sons, passed at a board meeting of the holding company of the Tata Group on September 17, according to a PTI report.
In a letter to Tata Sons company secretary Suprakash Mukhopadhyay on Monday, Noel challenged Chandrasekaran's reappointment for a further five-year term beyond February 2027, bringing differences within the conglomerate's board into the open.
Sources familiar with the development told PTI that Noel has termed the resolution void, citing several factors, including the notice and agenda for the meeting. He argued that the reappointment was taken up out of turn and was not included in the meeting's agenda, which was limited to a briefing by the nomination and remuneration committee, the sources said.
"The draft minutes [of the board meeting] are contested in material respects. The recording is the only neutral record of what transpired and there can be no legitimate reason to withhold it from a director who was present at the meeting and who has placed his objections on record," Tata wrote, according to a report by Businessline.
Noel, who heads Tata Trusts, which own about two-thirds of Tata Sons, had opposed Chandrasekaran's reappointment when it was put to a vote. However, Venu Srinivasan, the other Tata Trusts nominee director on the Tata Sons board, voted in favour of the reappointment along with the majority.
Other directors who supported Chandrasekaran's reappointment included Anita George, Harish Manwani and Saurabh Agarwal, according to PTI.
Noel has also argued that, under Tata Sons' Articles of Association, Tata Trusts' nominee directors must give their affirmative vote for a resolution to be passed.
In his letter, he sought an unedited video recording of the board meeting.
The dispute has also brought attention to reported business arrangements between TVS Motor Company and Hanno One Warehousing Pvt Ltd, which is linked to members of N Chandrasekaran's immediate family.
Citing media reports, Noel Tata has said that TVS Motor entered into agreements with Hanno One for warehousing and industrial park facilities. He has argued that the relationship should have been disclosed to the Tata Sons board before it considered Chandrasekaran's reappointment as executive chairman, according to multiple media reports.
Noel has also raised questions about whether Venu Srinivasan, chairman emeritus of TVS Motor and a Tata Sons board member who took part in the reappointment process, should have disclosed the relationship and abstained from the relevant discussions.
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