A governance dispute has erupted within Tata Trusts, the philanthropic arm that controls 66% of Tata Sons, exposing a deepening power struggle among trustees.
The conflict, which began in September 2025, centers on board nominations and transparency, and has prompted intervention from senior government officials.
Disagreement Over Board Reappointments
The dispute surfaced during a trustee meeting on September 11, convened to consider the reappointment of Vijay Singh, a former defence secretary and trustee since 2018, as a nominee director on the Tata Sons board.
Vijay, aged 77, was proposed by Tata Trusts Chairman Noel Tata and Vice Chairman Venu Srinivasan.
However, four trustees—Mehli Mistry, Pramit Jhaveri, Jehangir HC Jehangir, and Darius Khambata—opposed the move, citing governance concerns.
Following this, the opposing trustees proposed Mehli Mistry, cousin of the late Cyrus Mistry and a trustee with ties to the Shapoorji Pallonji family, for nomination to the Tata Sons board.
Noel Tata and Srinivasan declined the proposal, emphasizing the need for a transparent and consensus-driven process.
Vijay Singh subsequently resigned from the board.
Split Within Tata Trusts
The Trusts are now reportedly divided into two camps. One faction backs Noel Tata, who became chairman after Ratan Tata’s death in October 2024.
Mehli Mistry leads the other faction and has expressed dissatisfaction over exclusion from key decisions.
Sources suggest that the Mistry-led group is challenging Noel Tata’s authority and seeking greater influence over board appointments.
The Trusts’ nominee directors hold voting power on key resolutions at Tata Sons. Tata Sons controls over 400 companies, including 30 that are publicly listed.
This makes board appointments a critical issue for the future direction of the $180 billion conglomerate.
Government Intervention
Amid rising tensions, top Tata leaders—including Noel Tata, Tata Sons Chairman N Chandrasekaran, Venu Srinivasan, and Darius Khambata—met Union Home Minister Amit Shah and Finance Minister Nirmala Sitharaman on October 7.
The government reportedly urged the group to restore stability “by whatever means necessary,” underscoring the strategic importance of the Tata Group to India’s economy.
Tata Trusts has scheduled its next board meeting for October 10, but it has not disclosed the agenda.
Observers expect the meeting to address the governance rift and possibly revisit board nomination procedures.
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