Ratan Tata, the legendary industrialist and philanthropist, passed away on Thursday in Mumbai at the age of 86. He had been ailing for some time and was admitted to Breach Candy Hospital, where he spent his final days in the Intensive Care Unit.
Tata’s passing closes a significant chapter in Indian business history, particularly in light of the controversies that surrounded the Tata Group in recent years, including the fallout with former chairman Cyrus Mistry.
Ratan Tata, revered for his leadership and vision, had stepped down as the chairman of Tata Sons in 2012, personally appointing Cyrus Mistry as his successor.
Mistry came from the Shapoorji Pallonji & Co., which had been the largest stakeholder in the Tata Group for three generations. His selection was seen as a continuation of the longstanding relationship between the Mistry family and the Tata empire.
However, this partnership quickly unraveled. In October 2016, Cyrus Mistry was abruptly dismissed from his role as chairman following a vote by the Tata Sons board.
This ignited a public and legal battle between Mistry and the Tata Group, leading to accusations from both sides.
Mistry alleged mismanagement and suppression of minority shareholders, while the Tata Group accused him of leaking sensitive information to tax authorities and the press, and of poor performance during his tenure.
The dispute escalated through multiple legal channels. In 2018, the National Company Law Tribunal (NCLT) ruled in favor of Tata Sons, asserting that Mistry’s removal was justified due to a loss of confidence.
However, the National Company Law Appellate Tribunal (NCLAT) later restored Mistry as chairman, calling his dismissal illegal. This ruling was challenged by Tata Sons in the Supreme Court.
The saga reached its conclusion on March 26, 2021, when the Supreme Court upheld the removal of Cyrus Mistry, determining that no case of oppression or mismanagement had been made against Tata Sons.
The court dismissed further petitions from the Shapoorji Pallonji Group in 2022, bringing an end to one of the most high-profile corporate battles in India’s history.
Mistry’s sudden death in a car accident in September 2022 on the Ahmedabad-Mumbai highway added a tragic dimension to this already turbulent episode.
Ratan Tata’s demise, occurring just two years after the death of his one-time successor, marks the final chapter in this controversial episode for one of India’s most respected business dynasties.
Despite the tumultuous period, Tata’s legacy as a visionary leader who transformed the Tata Group into a global business giant remains firmly intact. His contributions to Indian industry, philanthropy, and society at large will be remembered for generations to come.