Volatility could rise in Tata group firms

The NCLAT order could also create trading and investment opportunities

The National Company Law Appellate Tribunal (NCLAT) judgment reversing Tata Sons’ ouster of Cyrus Mistry is difficult to decode in terms of possible impact on the markets. The judgment is surely going to be appealed in the Supreme Court. There are several aspects to the order and they will have business impacts. The case will also set important precedents in terms of management practices. 

It would be an extremely awkward situation in terms of human relationships, if Cyrus Mistry does actually return as Chairman. Remember, he only wanted a seat on the Board. The Shapoorji Pallonji (SP) Group, which Mistry’s