 "Nusli Wadia, Non-Executive, Independent Director, Tata Motors arrives for Tata Motors' board meeting at Bombay House in Mumbai (Pic: Kamlesh Pednekar)")
Little over 71 per cent of the total votes polled on Thursday were in favour of the resolution to remove Nusli Wadia as an independent director from the board of Tata Motors, India's largest automotive company.
The resolution seems to have divided the institutional shareholders right down to the middle with nearly a split between those in favour and those against the resolution.
At least three-fifth of the votes by minority shareholders were against Wadia’s removal as 61.73 per cent voted against the resolution.
As per disclosures made by Tata Motors 49.94 per cent of the votes from minority shareholders were against the resolution while 50.06 per cent were in favour.
Though a majority of voters voted in favour of Wadia’s removal from Tata Motors, the outcome was much different than what was seen at Tata Steel. Nine out of ten (or 90 per cent) shareholders of Tata Steel had voted to remove Wadia from its board on Wednesday.
Interestingly 3,62,261 votes (comprising 0.04 per cent) from the promoter and promoter group were against Wadia’s removal. 86,67,35,638 votes from the promoter and promoter group representing 99.96 per cent of their share of voting backed the resolution.
"Resolved that pursuant to the provision of the Section 169 and other applicable provisions of the Companies Act, 2013 and the rules framed thereunder, Mr Nusli Wadia be an is hereby removed from the office of director of the company with effect from the date of the meeting," Tata Motors said in a statement sent to the Bombay Stock Exchange.
