Cyrus Mistry likely to challenge sacking in Bombay HC

NEW DELHI: Cyrus Mistry is likely to move the Bombay high court this week challenging the decision of the Tata Sons board to dismiss him.Mistry is likely to move the Bombay high court this week challenging the decision of the Tata Sons board to dismiss him.

“We are getting ready to move the high court as soon as possible--could be Tuesday or Wednesday--against this illegal decision that violates strict provisions for such sacking under the Articles of Association,“ said a senior lawyer close to Mistry ..

The Mistry camp has lined up former solicitor general Mohan Parasaran and senior advocate Virag Tulzapurkar to present its side in questioning the validity of the Tata Sons board's decision.Mistry camp has lined up former solicitor general Mohan Parasaran and senior advocate Virag Tulzapurkar to present its side in questioning the validity of the Tata Sons board's decision.

One of the main grounds for the challenge is based on 121B of the Articles of Association of the Tata Sons, which the lawyer said mandates that 15 days' notice should be given to shareholders for a decision to change the chairman.

“It was impermissible under the Articles of Association to spring such a surprise at a board meeting and sack the chairman without giving him an opportunity to explain his side. This is also violative of the principles of natural justice which forms the cornerstone of a legitimate decision by the board,“ the lawyer told TOI.

The Mistry camp is also expected to term the decision as a case of “arbitrary decision-making that smacks of oppression of minority shareholders by the majority“.