Making their next move against Cyrus Mistry, the Tatas have removed him as chairman of group company Tata Consultancy Services or TCS. They have also sought a special meeting of the board of another group company, Indian Hotels, to remove Mistry as its director.
TCS, India’s biggest software services exporter, said it had received a letter from majority owner Tata Sons nominating Ishaat Hussain as interim chairman of the company replacing Mistry.
“Mistry has ceased to be the chairman of the board of directors of the company, and Hussain is the new Chairman of the company. The company has been further informed that Hussain shall hold office as chairman of the company until a new chairman is appointed,” TCS said in a filing with the exchanges.
Tata Sons has also called for an unusual general meeting of shareholders to consider a resolution for removal of Mistry as a director on the TCS board.
Indian Hotels released a statement saying that it had received a request from Tata Sons, which holds 28.01 per cent of the company, “to convene an Extra-Ordinary General meeting of the Shareholders of the Company, in the manner prescribed under applicable law, to pass the resolution for removal of Mr. C. P. Mistry as Director of the Company.”
Tata Sons is the holding company of the $100 billion conglomerate. Last month, Cyrus Mistry, 48, was removed as chairman of Tata Sons in a surprise move, and was replaced by Ratan Tata as interim chair.