Mumbai : In an explosive rift at the top of India's largest conglomerate, Tata Trusts has rejected the Tata Sons Board's decision to extend N Chandrasekaran's term as executive chairman for another five years, calling the resolution illegal and void.
The clash unfolded at a crucial Tata Sons Board meeting where directors voted 4-1 to reappoint Chandrasekaran ahead of his tenure ending in February 2027.
The sole dissenting vote came from Tata Trusts chairman Noel N Tata, who argued that the move violates the company's Articles of Association.
Tata Trusts said Noel Tata reiterated this position at the Tata Sons Board meeting on September 17 and voted against the proposal to reappoint Chandrasekaran.
"The Tata Trusts maintain that the Resolution to re-appoint Mr N. Chandrasekaran as Chairman, Tata Sons, is illegal," Tata Trusts said in its official statement.
According to the Trusts, four directors voted in favour of the reappointment while Noel Tata voted against it.
"The resolution seeking to reappoint Mr. N. Chandrasekaran in the Board meeting today, with four Directors voting in favour, and Mr Noel Tata against, was a legal nullity in view of the provisions of the Articles of Association of Tata Sons," the statement said.
