The interim chairman of Tata Sons, Ratan Tata, has clarified that he has no plans to quit the post as of now. This clarification comes in the wake of contradictory reports that the Tata scion was to resign or relieve himself of the Chairman’s post. In a press release by Tata Sons, Ratan Tata was confirmed to be continuing his personal involvement in initiatives of the group, adding that he also wished that the process for appointing a new successor to be smooth and effortless.
The statement by Tata Sons said,”Further to news reports that have appeared in the media today, Mr Ratan Tata, Interim Chairman, clarified that there are no plans for his stepping down from the chairmanship of the Tata Trusts at this point in time,” as reported in the Economic Times. Earlier, there were reports that Tata had planned to step down and carry on as an external advisor to the Tata group, an estimated #103 Bn conglomerate and one of India’s largest, most powerful and diversified groups.Tata Trusts controls 66% in the holding company of the Tata Group, which has been in the eye of a storm since 24 Octoberwhen chairman Cyrus P. Mistry was unceremoniouslyremoved by Tata Sons.
Tata Trusts further clarified that the media discussion referring to Ratan Tata’s exit was not true and had no basis in fact. The Trustees remain locked in the search for a leadership succession mechanism for the future of the Trusts while Ratan Tata has indicated that he will remain to help ensure an orderly and smooth transition of leadership.The role of the Trusts, it must be mentioned here, has been under scrutiny amidst the ongoing bitter feudTata and Cyrus Mistry. Mistry has accused Tata of using the Trusts as a separate power base, retaining control of the overall group even after he retired as chairman of Tata Sons. Tata disputes the claim and says Mistry is deliberately maligning the groupas a whole including his personal reputation as one of India’s most efficient and inspiring business leaders.