NCLAT ruling on Mistry: Order raises questions on corporate governance

Ratan Tata will have to take a backseat, considering the strictures passed by the NCLAT

Even as the spat between Ratan Tata and Cyrus Mistry headed for the Supreme Court (SC), the NCLAT verdict on Wednesday raised several questions for corporate governance.

Lawyers expect the Tata group to move the SC as soon as it reopens after the winter vacations. It has four weeks to do so. At the same time, experts said it might lead to a settlement between the warring parties. “The verdict is quite interesting… it remains to be seen how the SC reacts to it,” said Vaibhav Kakkar, partner, L&L Partners. Last month, the SC had overturned a NCLAT order on