Cyrus Mistry appeals against company law tribunal rejecting waiver plea in Tata case

New Delhi: Ousted Tata Sons Chairman Cyrus Mistry has moved appellate tribunal NCLAT against the National Company Law Tribunal, which had rejected his plea for waiver in the eligibility criteria for filing case against the Tata Group.

The petition is likely to come for hearing next week before the National Company Law Appellate Tribunal bench, headed by NCLAT Chairman Justice S J Mukhopadhaya.

Cyrus Mistry. Reuters

Cyrus Mistry. Reuters

On 17 April, National Company Law Tribunal had dismissed a petition filed by two firms belonging to Cyrus Mistry's family, seeking waiver of an eligibility condition for moving the forum against Tata Sons.

The Companies Act mandates that a petitioner should hold at least one-tenth of the issued share capital of a company or represent 10 per cent of the total number of members to file cases alleging mismanagement and oppression of minority shareholders.

The two firms -- Cyrus Investment Pvt Ltd and Sterling Investments Pvt Ltd had sought to challenge Mistry's ouster from Tata Sons last year and alleged that there was mismanagement and oppression of minority shareholders.

They had urged the NCLT to use its discretion and waive an eligibility condition for filing such a petition.

The tribunal had held last month that the plea was not maintainable, because the petitioner firms did not meet one of the eligibility criteria prescribed by the Companies Act.

The firms contended that under the Act the tribunal can waive a requirement that petitioner should hold at least one- tenth of `issued share capital' of the company, or represent at least one-tenth of the company's minority shareholders.

Tata Sons had argued that if preference capital was also considered, the petitioner firms held only 2.17 percent of the total issued share capital of Tata Sons.

Mistry was removed as Chairman of Tata Sons, the holding firm of Tata Group, one of the country's largest conglomerates, last October.


Updated Date: Apr 21, 2017 19:47 PM

Also Watch

Social Media Star: Abhishek Bachchan, Varun Grover reveal how they handle selfies, trolls and broccoli
  • Monday, July 16, 2018 It's a Wrap: Soorma star Diljit Dosanjh and Hockey legend Sandeep Singh in conversation with Parul Sharma
  • Monday, July 16, 2018 Watch: Dalit man in Uttar Pradesh defies decades of prejudice by taking out baraat in Thakur-dominated Nizampur village
  • Monday, July 16, 2018 India's water crisis: After govt apathy, Odisha farmer carves out 3-km canal from hills to tackle scarcity in village
  • Sunday, July 15, 2018 Maurizio Sarri, named as new Chelsea manager, is owner Roman Abramovich's latest gamble in quest for 'perfect football'

Also See