The Supreme Court today, has stayed the National Company Law Appellate Tribunal’s (NCLAT) order, restoring Cyrus Mistry as the executive chairman of the multinational conglomerate company, Tata Group.
The three-judge bench comprising of Chief Justice of India SA Bobde, Justices Surya Kant and BR Gavai issued a notice to Mistry in the appeal filed by Tata Sons on 2 January.
The National Company Law Appellate Tribunal (NCLAT) through its order dated 18 December 2019, reinstated Cyrus Mistry as the Executive Chairman of Tata Sons and further deemed the conversion of Tata Sons from the public to private company as illegal. Subsequently, the said order was challenged by the Tata Sons on 2 January 2020 stating the order as a ‘dangerous legal precedent’ and is a ‘blow to corporate democracy.’ The NCLAT in its 18 December order also held the appointment of N Chandrasekaran as the head of the company to be illegal.
