Cyrus Mistry sacked; Ratan Tata returns as chairman of Tata Sons
Mumbai : In one of the major incidents from Business industry happened on Monday, Cyrus Mistry got sacked as Chairman of Tata Sons and has been replaced by Ratan Tata, from whom he had taken over the reins of the over USD 100 billion salt-to-software conglomerate four years ago.
The decision was taken after the Board members of Tata Sons met in Mumbai and decided to bring Ratan Tata back as interim head.
A five-member search committee has also been set up to find Mistry's successor within four months from now.
The board constituted a selection committee comprising Tata, TVS Group head Venu Srinivasan, Amit Chandra of Bain Capital, former diplomat Ronen Sen and Lord Kumar Bhattacharya. All of them, except Bhattacharya, are on the board of Tata Sons.
"The committee has been mandated to complete the selection process in four months," A Tata Sons statement claimed.
In November 2011, Mistry had replaced Ratan Tata and was appointed as Deputy Chairman of Tata Sons, for which he had been working since 2006.
He was made chairman on the basis of his representation from Shapoorji Palonji, the largest shareholder in Tata Sons.
No specific reason has been given behind such major change in the company. But, they say that Tata Sons was not happy with Mistry's approach of shedding non-profit businesses.
"Tata Sons today announced its board has replaced Mr Cyrus P Mistry as Chairman of Tata Sons. The decision was taken at a board meeting held here today," a Tata Sons statement said.
Tata Sons is the main holding company of the group.