The National Company Law Appellate Tribunal on Friday said Tata Sons cannot force former chairperson Cyrus Mistry to sell his shares in the company, ANI reported. The tribunal also refused to pass an order on the conversion of Tata Sons into a private company, saying it will decide on the matter after the final hearing.
Mistry’s lawyer argued the company’s conversion into a private company was fraud and legally impermissible. Tata Sons, however, argued that it has been functioning like a private firm ever since it was established. The next hearing is on September 24.
The law tribunal also admitted Mistry’s appeal against his removal as the chairperson of Tata Sons, reported Bar & Bench. The company has been directed to file a reply to Mistry’s plea within 10 days.
Mistry had appealed against the order of the National Company Law Tribunal, Mumbai bench, which dismissed his plea in July challenging his removal as the executive chairperson of Tata Group’s holding company in October 2016.