Turning up the heat on ousted chairman Cyrus Mistry, Tata Sons has asked group firm Tata Chemicals to convene a meeting of shareholders to remove him and independent director Nusli Wadia from the company's board.
In a regulatory filing, Tata Chemicals said it has received a notice dated November 10 from Tata Sons, the company's promoter and a shareholder of 19.35 per cent stake, to convene an extra-ordinary general meeting (EGM) for passing a resolution for removal of Cyrus Mistry and Nusli Wadia as directors of the company.
The move comes a day after Tata Chemicals issued a statement stating that its independent directors on board reposed faith in leadership of Mistry. Wadia is on the board of Tata Chemicals as well and is said to have switched sides to join the Mistry camp.
Mistry, currently the Chairman of Tata Chemicals, also continues to be chairman of several listed companies of the Tata Group even after he was removed as chairman of the holding company, Tata Sons. These companies include Tata Motors and Tata Steel.
However, earlier in the day, Tata Chemicals announced that its Director Bhaskar Bhat has resigned from the company's board.
Bhat said concerns raised by him were "totally ignored" by the company's independent directors.
In his resignation letter, Bhat said, "I have just read the statement put out by the independent directors on the BSE website. The contents as well as the spirit of the statement completely dilute the views I expressed at the board meeting today, especially regarding the threat the company faces on account of loss of confidence of the promoter Tata Sons in the chairman of Tata Chemicals."
The company's independent directors include Wadia Group Chairman Nusli N Wadia, DCB Bank Chairman Nasser Munjee, NABARD former chairman YSP Thorat and marketing professional Vibha Paul Rishi.
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