Nationalist Congress Party (SP) chief Sharad Pawar on Tuesday backed the role of Tata Trusts as an institution, amid the growing tussle with Tata Sons over the leadership and proposed public listing of the conglomerate, local media reported.
The leadership decisions of the Tata Group should be based on institutional processes and the role of the trusts that together hold about 66 per cent of Tata Sons, Pawar said. He urged that the issue be resolved through talks and as per the company’s Articles of Association.
“Therefore, the social commitment and institutional role of the Tata Trusts must be preserved,” Pawar said in a post on X.
The intervention comes after a Sept. 17 Tata Sons board voted to reappoint N. Chandrasekaran as executive chairman for another five years and then start the process of moving toward a public listing. The decisions were rejected by Tata Trusts Chairman Noel Tata.
Tata Trusts challenged the validity of Chandrasekaran’s re-appointment, saying the company’s Articles require the affirmative support of trust-nominated directors for key decisions. Tata Sons and the trusts have different interpretations of these provisions.
The trust-based ownership structure is in keeping with the Tata Group’s long-standing philanthropy model and must be protected, Pawar said.
