Rift Deepens: Meherli Mistry, Close Aide of Ratan Tata, Removed from Tata Trusts

Meherli Mistry, a close associate of the late Ratan Tata, has been removed from the boards of the Sir Dorabji Tata Trust (SDTT) and Sir Ratan Tata Trust (SRTT). The decision came after three trustees — Noel Tata, Venu Srinivasan, and Vijay Singh — voted against his reappointment.

Three others — Pramit Jhaveri, Darius Khambata, and Jehangir HC Jehangir — supported Meherli’s reappointment, while Ratan Tata’s brother Jimmy Tata abstained. Since the resolution was directly related to him, Meherli Mistry did not participate in the vote.

Four trustees — Noel Tata, Srinivasan, Singh, and Khambata — serve on both SDTT and SRTT boards. Pramit Jhaveri is on SDTT, while Jehangir and Jimmy Tata are on SRTT.

Unanimous Approval Needed for Trustee Appointments or Removals

Tata Trusts operate under two key charitable arms — SDTT and SRTT — each with distinct voting systems. According to the trust deeds, decisions at SDTT require a simple majority, while SRTT mandates unanimous consent.

However, when it comes to appointing or removing trustees, unanimous approval from all members is necessary. Based on these rules, Meherli Mistry’s three-year term ended on Tuesday without renewal.

Tata Trusts Control Majority Stake in Tata Sons

The Tata Trusts, including the Sir Ratan Tata Trust, collectively hold 66% of Tata Sons’ shares — the parent company of major Tata Group firms such as Tata Consultancy Services (TCS), Tata Steel, and Tata Motors.

Since 2022, Mistry had served as a trustee of both SDTT and SRTT, which together own 51% of Tata Sons and have the right to nominate one-third of the company’s board members.

Conflict Originated After Vijay Singh’s Removal

Following Ratan Tata’s death in October 2024, his stepbrother Noel Tata was appointed chairman of Tata Trusts. He was also inducted into the Tata Sons board in November 2024 — a decision that did not have full consensus within the Trusts.

This move caused a clear divide within Tata Trusts — one faction aligned with Noel Tata, while another backed Meherli Mistry, who has family ties with the Shapoorji Pallonji Group holding an 18.37% stake in Tata Sons.

About a year after Ratan Tata’s passing, the trustees voted to remove former Defence Secretary Vijay Singh from the Tata Sons board — an event that drew national attention to internal disputes within Tata Trusts, even prompting government intervention.

Government Mediation and Legal Advice

Amid the tensions over board representation, Tata leadership reportedly met with Home Minister Amit Shah on October 7 for a 45-minute discussion. According to reports, the government urged the Trusts to resolve internal conflicts quickly to avoid harming Tata Sons’ operations.

Recently, Mistry had conditionally approved Venu Srinivasan’s reinstatement as trustee and vice-chairman of SDTT, stating in an email that he would only support it if similar unanimous resolutions were passed for other trustees when their terms expired.

Now, debate continues internally over whether Mistry will retract his approval or challenge the reinstatement decision in court. Some reports claim Noel Tata, Srinivasan, and Vijay Singh have sought legal counsel. However, one trustee stated that conditional approvals hold no legal ground once resolutions are passed.

Possible Impact on Tata Sons Board

Mistry’s exit is expected to pave the way for new nominations to the Tata Sons board, likely strengthening Noel Tata’s camp. Analysts say this development raises questions about unity within the Tata Trusts and could reignite old disputes with the Shapoorji Pallonji Group (SP Group).

Meherli Mistry is a promoter of the M. Pallonji Group, which operates in sectors such as industrial painting, shipping, dredging, and automobile dealerships. His firm, Sterling Motors, is a Tata Motors dealer. Mistry is also a cousin of Shapoorji and the late Cyrus Mistry.