Not everyone is happy with the goings on in the Tata Group and questions are being raised about the appointment of Ratan Tata as interim chairman of the Tata Group. In an interview to ET Now, former Infosys board member Mohandas Pai said he did not think bringing back Ratan Tata was a positive step. “It is worrisome for many investors who are following Tata Sons… I really don’t know why Cyrus Mistry resigned, he had got many changes in Tata Sons,” Pai added.
WATCH VIDEO: Cyrus Mistry’s Career Timeline
He said it is difficult to change the course of such a big group. “Tatas stood for high values and suddenly a chairman who was appointed four years back resigns,” he said, adding that this signals a worrisome story.
Journalist Sucheta Dalal questioned the episode and tweeted: “What does headline “Tata Sons replaces CyrusMistry as chairman” mean? How do you replace largest shareholder unless he wants 2 go?” She warned that the markets should brace for impact tomorrow.
Author Gurucharan Das told the same channel that shareholders get nervous with surprises like this, especially when it was such a large group. “I think there should be some clarification over the move.”
Cyrus Mistry was appointed the sixth chairman of the Tata Group in 2012, replacing Ratan Tata. He had been director of the company since 2006. Mistry was earlier managing director of the Shapoorji Pallonji Group. Ratan Tata had been chairman from 1991 till his retirement on December 28, 2012.