Tata Trusts moves proposal to reappoint Mehli Mistry as lifetime trustee

The reappointment bid comes amid reports of a rift among the trustees over their tenures, with one faction aligning with Noel Tata, who became chairman after Ratan Tata's death, and others with Mistry

Tata Trusts has proposed the reappointment of Mehli Mistry as a lifetime trustee, just days before his three-year term ends, PTI reported on Thursday. Mistry’s term at the Sir Dorabji Tata Trust and Sir Ratan Tata Trust — the two core trusts holding a majority stake in Tata Sons — expires on October 28.

 

Rift among trustees over tenure and control

The reappointment bid comes amid reports of a rift among the trustees over their tenures, with one faction reportedly aligning with Noel Tata, who became chairman after Ratan Tata’s death, and others with Mistry, who is seen as a loyalist to the latter.

 

 

Mistry is also related to the Shapoorji Pallonji family, which holds around 18 per cent stake in Tata Sons, the holding firm of the salt-to-software conglomerate. The proposal follows the appointment of industrialist Venu Srinivasan as a lifetime trustee earlier this week.

Unanimous approval clause sparks division

According to PTI, citing sources, Mistry and three other trustees — Pramit Jhaveri, Jehangir HC Jehangir, and Darius Khambata — approved Srinivasan’s reappointment as trustee and vice-chairman of Tata Trusts on the condition that all future trustee renewals be approved unanimously, failing which their approvals would be withdrawn.

 

The Mistry faction’s demand highlights a division among trustees over the interpretation of the lifetime trusteeship resolution, approved last year after Ratan Tata's death. One group believes a trustee’s term must be renewed before receiving lifetime status, while another argues that lifetime trusteeship should follow automatically at the end of a trustee’s term, according to a Business Standard report.

 

Resolution wording under scrutiny

The resolution approving lifetime trusteeship stated that “on expiry of any tenure of any trustee, that trustee will be reappointed by the concerned trust without any limit of tenure of such re-appointment, and in accordance with law,” a source told Business Standard.

 

The issue underscores a larger debate within Tata Trusts about governance, continuity, and legacy, as the group navigates leadership transitions following Ratan Tata’s passing.