Tata Sons removes Cyrus Mistry as chairman, Ratan Tata interim chief

039;One Chelsea man in particular will lead revenge charge against Jose Mourinho'

In a dramatic development that took the corporates and others by surprise, Cyrus Mistry was today sacked as Chairman of Tata Sons and was replaced by Ratan Tata, from whom he had taken over the reins of the over United States dollars 100 billion salt-to-software conglomerate four years ago. Mistry became chairman of Tata Sons in 2012 wherein he replaced Ratan Tata, who stepped down after 21 years.

Cyrus Mistry, who was part of the panel tasked to find a successor to Ratan Tata for heading the over Dollars 100 billion Tata Group, had himself become a surprise selection only to see his tenure cut short abruptly today within four years - the shortest at the conglomerate.

"In the interim, the Board has requested me to perform the role of the Chairman and I have agreed to do so in the interest of stability of and reassurance to the Tata group", Tata said in a letter to colleagues.

Mistry said recently in an interview with the company's in-house magazine that the group "should not be afraid of taking tough decisions for the right reasons, with compassion".

"Tata Motors is not on a sustainable footing, obviously Tata Steel has had its struggles and the Docomo issue is unsettled which is earning Tata a bad name globally".

Due to Chorus, Tata Steel saw a decline of 30% between 2007-08 and 2014-15. He also increased debt 11-fold in his final 10 years as he expanded overseas, acquiring European steelmaker Corus Group Plc and marquee brands such as Land Rover, Jaguar, Tetley tea and New York's Pierre hotel. Tata Motors' quarterly profit halved as the pound slumped following the Brexit vote, and JLR's CEO warned that some customers in Europe, its biggest market, no longer wanted to buy British cars.

Tata Sons is the holding company of the sprawling Tata Group, which spans more than 100 companies in as many countries.

Mr Tata, who took over as chairman of Tata Sons in 1991, is credited with building it into a global behemoth. The development took place following a meeting in the evening of Monday and partly shook Dalal Street. Two members abstained. Mistry, who could not vote, remains a board director.

Be Civil - It's OK to have a difference in opinion but there's no need to be a jerk. His board of trustees responsibilty also extends to the University of Southern California and Cornell University.Ratan Tata is board member on the Republic of South Africa's International Investment Council, and a member of the Asia-Pacific advisory committee for the New York Stock Exchange.

"This is just too shocking", said G. Chokkalingam, managing director at Mumbai-based Equinomics Research & Advisory.

Unlike his predecessor, Mistry has stayed away from the limelight, limiting his speeches to company events.

Mistry was only the second non-Tata chairman of the 148-year-old group. The turnover of the group dropped to $103 billion in the current financial year from $108 billion the previous year.



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