Indian Hotels Co independent directors back Cyrus Mistry

"The independent directors praised steps taken by Mistry in providing strategic direction and leadership to the company," said Indian Hotels in a statement,

By: Express Web Desk | New Delhi | Updated: November 4, 2016 8:15 pm
Cyrus Mistry, Tata Sons, Indian Hotels, Ratan Tata, Tata group, Tata news, Cyrus Mistry Indian Hotels, Cyrus Mistry was ousted as the chairman of Tata Sons. Kevin Dsouza

Independent directors of Indian Hotels on Friday unanimously expressed full confidence in former chairman Cyrus Mistry. In a statement today, Indian Hotels said, “The independent directors praised steps taken by Mistry in providing strategic direction and leadership to the company.”  The independent directors, including banker Deepak
Parekh and Nadir Godrej, met ahead of the Tata group’s loss-making company’s board meeting and reposed faith in
Mistry, who has been ousted as chairman of holding company Tata Sons. Ratan Tata-led interim management of Tata Sons is seeking to oust Mistry from his positions in the operating group firms, including IHCL and Tata Motors.

The development comes hours after Tata Sons put in place a new management team for the $100 billion steel-to-software group, days after its board ousted Chairman Cyrus Mistry and disbanded his advisory council, triggering a public spat between him and Ratan Tata.

Explaining the reasons for making public their views, IHCL said: “After deliberations, the independent directors
came to a view that being a listed company, it was imperative for the independent directors to state their views to the
investors and public at large, such that those who trade in securities of the company make an informed decision.”

Ratan Tata, who is the interim chairman for the next four months, has put together a team of five executives, including two former Mistry advisers, Tata Sons said in a statement on Friday. The team comprises S. Padmanabhan, who currently leads the Tata business excellence group and will also be group human resources head, Gopichand Katragadda, who will continue in his current role as group chief technology officer, and Sanjay Singh, who will oversee public affairs in Delhi.

The new team also includes Mukund Rajan and Harish Bhat, formerly part of Mistry’s five-member advisory council. Rajan will continue to be responsible for ethics and sustainability, and will also oversee the group’s international operations in the United States, Singapore, Dubai and China.

Bhat, who oversees marketing, will also be brand custodian and interim strategy and business development head.

The remaining three Mistry advisers – Nirmalya Kumar, NS Rajan and Madhu Kannan – have left the company, Tata Sons said.

Tata veteran Prasad Menon, who last served as chairman of Vistara, an airline venture with Singapore Airlines, has also been brought in to help Ratan Tata temporarily, a source close to the company had told Reuters.

While Mistry has been removed as chairman of Tata Sons, he is still chairman of some of the key listed group companies such as Indian Hotels Co, Tata Motors, Tata Communications and Tata Steel.

(with inputs from Reuters)

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  1. Y
    yna
    Nov 4, 2016 at 3:14 pm
    indep dirs have rightly acted without bowing to the stooge rnt
    Reply
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      alam
      Nov 4, 2016 at 7:08 pm
      And now after Satyam Computer , Sahara its time for TATA's. Days are not far away only Ambani's and Adani's will be there.lt;br/gt;Real alert for Quality against Quality policy company's.
      Reply
      1. A
        alam
        Nov 4, 2016 at 7:11 pm
        POLITICS..POLITICS..POLITICS...lt;br/gt;DEAR MEDIA PLEASE STOP FOCUSING UNWANTED ISSUES AND PLEASE GIVE SOME TIME TO ISSUES RELATED TO MAJORITY OF INDIANS...FARMERS.. MEDIA SHOULD UNDERSTAND 82% INDIANS ARE INVOLVED DIRECTLY OR INDIRECTLY WITH THIS PROFESSION. SUICIDE CASES ARE MORE COMPARE TO OTHER PROFESSION.. THERE ISSUES ARE FAR AHEAD OF ANY ISSUE IN INDIA.
        Reply
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          Anand Mohan
          Nov 4, 2016 at 4:15 pm
          The time has come to write new chapter in the annals of corporate governance. The independent directors of all Tata listed companies must thoroughly discuss each proposal of tata sons adversely affecting Cyrus. They must force vote on each such resolution even if that resolution is ped in a way which brute majority of tata sons want. It will help for future generations of minority shareholders of listed companies where promoters treat them like sheep.
          Reply
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            ashok s
            Nov 5, 2016 at 12:09 am
            Majority of societies suffer due to doctorial rules of chairman ,secretary, office bearers .this is more at concern then tatas ectc. I.e should write a column on society rulers in Mumbai who make Normal members life more sufferable. Thanks
            Reply
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              Mayur Panghaal
              Nov 4, 2016 at 3:05 pm
              Which company was found by CAG avoiding tax by registering as Charitable Trust ? CAG fined it 2000 crores.lt;br/gt;Which company was Nira Radia working for?lt;br/gt;Which company gained max from 2 g scam ?lt;br/gt;Ans is ....T a t a
              Reply
              1. R
                Ravi
                Nov 4, 2016 at 4:02 pm
                You are right it is not his jaguar it is a public limited company founded by the great Tatas.Ratan mysterious fellow how talks about Tata culturespite of Rafia tapes
                Reply
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                  anonymous
                  Nov 4, 2016 at 10:05 pm
                  He is a trouble maker and a good for nothing Chairman of Tata and Sons appointed personally by Ratan Tata. Tata and Sons is Ratan Tata. It was only on his recommendation, the Board approved Mistry and he took over. His 4 years at the helm , the eny got dragged downward. So he was asked to step down for the survival og the eny but he would not oblige. So he was removed with Board Vote. He is a usurper and unfit for the job.
                  Reply
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