Ratan Tata to quit after 2 yrs

Referring to his step-brother, who is working in the group, Tata said there were chances that another Tata might succeed, but "it was up to my colleagues (in the board of directors) to decide on that." The 63-year old bachelor CEO of one of India’s largest business houses said the group went on a restructuring exercise recently to consolidate and increase the equity levels in various group companies because the right to manage come with a reasonable stake in a company.

"One can argue that you have no right to manage if you have only two or three per cent stake and hence we needed to consolidate and refocus and also needed to increase the stake in our companies," he added. He said such an exercise was initiated because "in most of the companies our stake is very low."

On not getting the government nod for an alliance with the Singapore Airlines for a private airlines venture Tata said it was disappointing. "It was disappointing not that we did not get it, but that the system has manoeuvred in a way that it had happened," he added.

Asked if it was a setback to his group, a composed Tata said "I don’t think that winning or losing a licence is a setback or a reason to respond." "We went to three governments, three different governments," he pointed out.On being forced to make a comment on Russi Modi, Tata said he was among the older and seasoned members of the management JRD Tata had selected, but there was nothing wrong in having different opinions. He conceded to the inteviewer that the group’s policy of not to `grease palms and facilitate’ has created problems for his companies at times. "But more than anything else, one is proud of that (culture)," he added.

Tata said (this culture) was important for him and he would prefer to live with such values. Tata said he was `very surprised’ when JRD Tata told him that he had decided to nominate him as the successor. "However, he asked me not to talk about it as he wanted to disclose it at an appropriate board meeting."

He said he became close to JRD Tata while he was in Jamshedpur after returing from America, and the piloting interest of both of them cemented the ties.

Tata said JRD was a father to him to the extent that he could confide many things to him which he could not share with his own father. He said while in Jamshedpur a couple of times he came close to going back to the United States. "One of the things that kept me back was the control of NELCO."