Cyrus Mistry to Tata Sons: Five companies can burn $18-bn hole in group financials
A realistic assessment of 5 Tata companies, including Indian Hotels Company and Tata Steel Europe, can lead to nearly $18 billion write-down, Cyrus Mistry has said
Sacked Tata Sons chairman Cyrus Mistry has said in a letter to the company board that the inherited problems of the salt-to-software conglomerate had pushed him "into the position of a 'lame duck' chairman" and that he cannot believe with the he was removed on grounds of non-performance.
CNBC-TV18 has got the possession the five-page letter sent on Tuesday, a day after the sacking happened. However, the TV channel has said that it has not independently verified the authenticity of Mistry's letter.
Mistry argued in the letter that under his term, Tata companies' net worth rose to Rs 42,000 crore from Rs 26,000 crore earlier. The group's operating cash flows grew at 31 percent compounded annual growth rate.
According to him, a realistic assessment of 5 Tata companies, namely Indian Hotels Company, Tata Motors PV, Tata Steel Europe, Mundra Ultra Mega Power Project and Tata TeleServices, can lead to nearly $18 billion write-down.
He has also reminded the board that lack of explanation has led to all kinds of speculation and harmed his own and the group's reputation.
You can read the entire letter below: