Ousted from TCS, Cyrus Mistry finds support from independent directors of Tata Chemicals

In a shot in the arm for Cyrus Mistry amid raging boardroom battle at Tata Sons, independent directors of Tata Chemicals on Thursday “unanimously” backed him as its Chairman and affirmed their confidence in the management.

This is the second group company after Indian Hotels where independent directors have come out in support of Mistry as Chairman.

In a regulatory filing, Tata Chemicals, in which Tata Sons has 19.35 per cent stake, said its independent directors at a meeting today recalled and reaffirmed their earlier assessment and evaluation carried out 2015 and 2016 of the Chairman, the Board, and its functioning.

Mistry, who is Chairman and non-independent, non-executive director of Tata Chemicals, was ousted as Chairman of Tata Sons last month but continues to chair the boards of several group firms.

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The company’s independent directors include Wadia Group Chairman Nusli N Wadia, DCB Bank Chairman Nasser Munjee, former NABARD Chairman YSP Thorat and marketing professional Vibha Paul Rishi.

“The Independent Directors referred to the minutes of the above meetings outcome of which was with the entire Board at that time,” it said.

They also considered the subsequent statement made by the Board of Directors in the Annual Report in which the Board recommended and sought the support (of all shareholders) for confirmation of Mistry’s re-appointment at the Annual General Meeting held on August 11, 2015 and noted that the same was approved by 97.64 per cent of the votes cast.

“Considering the above the Independent Directors unanimously affirmed their confidence in the Board, its Chairman and the management in the conduct of the company’s business,” the filing said.

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Tata Chemicals further said its independent directors also “reaffirmed that all the decisions taken with regard to the operations and business of the company had been take by the board unanimously and executed by the Chairman and the management as per the directions of the board”.

“Independent Directors also wish to reassure all the stakeholders, management of the company and its subsidiaries wherever located of their full confidence and support,” the filing added.