The quiet corridors of the Tata Trusts have once again echoed with dissent. In a dramatic turn reminiscent of the 2016 showdown between Ratan Tata and Cyrus Mistry, a new fault line has emerged—this time over the reappointment of Mehli Mistry, a long-time confidant of the late Ratan Tata. The decision, opposed by key trustees including chairman Noel Tata, signals both a leadership fracture and the possibility of another legal and emotional storm brewing within India’s most influential philanthropic empire.


A Divided Board: The Vote That Sparked Controversy

On Tuesday, a split vote within the Sir Ratan Tata Trust (SRTT) and the Sir Dorabji Tata Trust (SDTT) altered the internal balance of power.
Chairman Noel Tata, vice-chairmen Venu Srinivasan and Vijay Singh voted against reappointing Mehli Mistry as a permanent trustee. In contrast, Pramit Jhaveri, Darius Khambata, and Jehangir H.C. Jehangir supported Mistry’s continuance.

The outcome marks a stark departure from the Trusts’ recent consensus-driven decision-making—especially since only last week, Srinivasan was reappointed as a trustee for life with unanimous backing. This split highlights the fragility of unity within the Trusts, which collectively own nearly 66% of Tata Sons, the parent of India’s most valued conglomerate.

Adding a layer of irony, it was Mehli Mistry himself who had proposed Noel Tata’s elevation as chairman in October 2024, shortly after Ratan Tata’s passing.


Legal Storm Clouds: The Fight for Legitimacy

Insiders close to Mistry say he may challenge the decision in court, citing a prior joint resolution from October 17, 2024, in which all trustees agreed to make their positions permanent. Mistry argues that Tuesday’s decision violates that collective agreement, making it not just a personal affront but a procedural breach.

Senior Supreme Court lawyer H.P. Ranina weighed in, stating that any trustee denied reappointment has grounds for legal recourse. If Mistry proceeds, this could thrust the Trusts into another high-stakes court battle—echoing the bitter litigation that followed Cyrus Mistry’s 2016 ouster from Tata Sons.

Given the Trusts’ pivotal control over Tata Sons’ governance—approving key board appointments and major financial moves—this dispute could also ripple across the broader Tata Group, affecting corporate stability and investor confidence.


Cracks in the Foundation: The Consensus Question

The disagreement doesn’t end with Mistry’s reappointment. The boardroom has been split since September, when three trustees—Jhaveri, Khambata, and Jehangir—sided with Mistry to remove Vijay Singh as their representative on Tata Sons’ board, citing a lack of transparency in key decisions.

This schism revealed an undercurrent of mistrust among trustees, one that could complicate future decisions requiring unanimity. Consensus is vital to the functioning of the Tata Trusts—its articles mandate unanimous approval for trustee appointments and major resolutions. The absence of such unity now puts governance itself under question.


Mistry vs Tata 2.0: The Echo of 2016

The parallels are impossible to ignore.
Mehli Mistry’s cousin, Cyrus Mistry, was ousted as Tata Sons Chairman in 2016 after a fallout with Ratan Tata, triggering years of legal wrangling that ended in a Supreme Court ruling in Tata’s favor in 2021. Mehli, who sided with Ratan Tata during that conflict, later joined the Trusts’ boards in 2022.

Now, history appears to be circling back—only with the sides reversed. The same family name, the same trust structures, and the same corporate legacy are once again at the center of a philosophical and legal contest over loyalty, transparency, and succession.


What Lies Ahead: A Test of Leadership and Legacy

Noel Tata, who inherited the chairmanship following Ratan Tata’s death, now faces two formidable challenges—a legal confrontation that could entangle the Trusts in court proceedings, and a widening ideological rift that may stall decision-making at the top.

If Mistry proceeds legally, the case will test both the integrity of the Trusts’ governance framework and Noel Tata’s leadership in preserving the unity his half-brother worked so hard to build. The Indian government, which had urged reconciliation among trustees, may also be watching closely to ensure the Trusts’ philanthropic mission remains intact.


Takeaway: History Repeats, but Stakes Are Higher

The unfolding Mehli Mistry episode isn’t just another boardroom dispute—it’s a battle for continuity within the very institutions that define the Tata legacy. What began as a disagreement over one man’s reappointment now threatens to reopen old wounds, testing whether the Trusts can rise above personal loyalties and maintain the moral authority they’ve long embodied.

If unresolved, the saga could shape not just the future of the Tata Trusts, but also the governance model of one of India’s most storied industrial groups.


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