In his rejoinder affidavit filed in the Supreme Court countering the affidavit filed by former Tata Sons Chairman Mistry, Ratan Tata said “Knowing well the limitation of such a grievance – which at the highest could be a directorial dispute or an employment dispute – Cyrus Mistry has created a smokescreen of ‘oppression and mismanagement’ around it.” . He has created this smokescreen to gain legal mileage.
He said Mistry was appointed by the Board of Chairmen in 2012 following an assessment by the Selection Committee and the same board four years later decided, in near unanimity, to replace him from the position. He noted Mistry was initially requested to step down from the position. “This was a dignified way in which responsible Boards handle such decisions and how mature business leaders, despite personal disagreement with such decisions one might have, accept such decisions with grace,” Tata’s rejoinder said.
But, Mistry declined the request and a resolution then had to be brought before the Board to remove him which was passed with near unanimity.
Ratan Tata said Mistry’s grievance that no reason was recorded in the minutes of the board meeting in support of the resolution passed by the Tata Sons board October 24, 2016 was not true.
He said Mistry had become a ‘Trojan Horse’ in the way he showed deep hostility and personal animosity towards the majority shareholders and against some of the past and serving directors.