Supreme Court will pronounce its ruling on the Tata-Mistry dispute on Friday

The Supreme Court on Friday is set to pass its ruling in the cross-appeals filed by Tata Sons Pvt Ltd and Cyrus Investments Pvt Ltd against the National Company Law Appellate Tribunal (NCLAT) order which had restored Cyrus Mistry as the executive chairman of the over $ 100 billion salt-to-software Tata conglomerate.

The division bench of Chief Justice S A Bobde, Justices A S Bopanna and Justice V Ramasubramanian has posted the matter for pronouncement of judgement. The Apex Court had reserved its order on December 17, after hearing both the parties.

In December 2019, the NCLAT directed to reinstate Cyrus Mistry as the executive chairman of Tata Sons and restoring his directorships in the holding company as well as three group companies.


Subsequently, both Tata Sons, as well as Shapoorji Pallonji Group companies, approached the Supreme Court to challenge the appellate tribunal’s order.

Last year in January, the Supreme Court, while staying the appellate tribunal’s order observed that the first impression of the order was “not good” and that the tribunal ‘could’ not have given consequential relief that had not been sought in the first place.

At the time of challenging the NCLAT ruling, the Mistry Group sought ‘proportionate representation’ on the board of Tata Sons. The SP Group, through its investment firms, holds 18% shares in the company.

While Tata Sons argues that NCLAT granted reliefs that were not even prayed for by restoring Cyrus Mistry to his ‘original position’ as the executive chairman of Tata Sons and declaring the appointment of Chandrasekaran as Executive Chairman of Tata Sons as illegal.

Cyrus Mistry was appointed as Chairman of Tata Sons, in December 2012 and was removed from the post on October 24, 2016, by the majority of the board of directors of the company. Subsequently, at an Extraordinary General Meeting convened on February 6, 2017, the shareholders voted for the removal of Mistry from the board of Tata Sons.