Tata Sons’ shareholders authorized a decision that stops an individual who’s the chairman of both of its two trusts from being eligible to move the corporate’s board. The shareholders’ approval implies that the trusts Sir Dorabji Tata Trust and Sir Ratan Tata Trust — the 2 controlling shareholders of the corporate — and Tata Sons (the holding firm of all Tata Group companies) can have separate people as chairman.
The shareholders cleared the movement on the firm’s annual basic assembly held Tuesday.
Earlier in its annual report, Tata Sons stated it had acquired a request from Sir Dorabji Tata Trust and Sir Ratan Tata Trust to make an modification in its Articles of Association (AoA). The shareholders have requested to insert a clause that “a person who is the chairman of either of the trusts or of both will not concurrently be eligible to be the chairman of the company’s board”.
“Now this has become legally binding, and the trusts and Tata Sons will continue to be chaired by two different individuals,” a supply within the know stated.
(With FE)
