Tata Trusts Governance Complaints: Charity Commissioner Grants Extra Week to SDTT

Former Tata Trusts trustee Mehli Mistry is considering approaching the Bombay High Court over repeated delays in hearings concerning alleged governance lapses and trustee misconduct at three Tata charitable trusts, according to people familiar with the matter, Financial Express reported.Mistry has filed complaints before the Maharashtra Charity Commissioner involving Sir Dorabji Tata Trust (SDTT), Sir Ratan Tata Trust (SRTT) and Bai Hirabai Jamsetji Tata Navsari Charitable Institution (BHJTNCI).He resigned from other Tata trusts last year but continues as a lifetime trustee of Tata Education and Development Trust.Shapoorji Pallonji Shelves Real Estate IPO Plan For Now; Focus Shifts To ₹55,000 Crore Debt, Tata Sons Stake May Challenge Repeated Adjournments According to people close to Mistry, he could formally object if the hearings scheduled for Oct 15 are postponed again.He may also seek an order maintaining the status quo on trustee appointments across the three trusts as of Sept 1, 2025.His complaints, first submitted in April, have faced repeated adjournments following requests from the trusts or administrative difficulties.Mistry has questioned why complaints involving trustees whose conduct he challenged have reportedly received earlier consideration.His concerns follow action on a complaint by Tata Trusts Vice-Chairman Venu Srinivasan, after which the Charity Commissioner reportedly barred SRTT from holding board meetings.Srinivasan and fellow Vice-Chairman Vijay Singh subsequently raised separate governance concerns involving SDTT, including alleged irregularities in trustee appointments. Complaints Face Procedural DelaysThe previous hearings, scheduled for Sept 8, were postponed for different reasons. Proceedings could not continue because the presiding officer was absent.In the SRTT case, lawyers requested additional time, citing Vijay Singh's retirement from the trust and the need to replace him as reporting trustee under applicable regulations.Although the extension was granted, Mistry's lawyer formally objected, arguing that sufficient opportunities to respond had already been provided.Mistry maintained that further delays were unjustified. He has also clarified that his complaints seek to highlight alleged irregularities observed during his tenure rather than secure reinstatement to trust boards.People familiar with the developments said legal proceedings before the Bombay High Court remain an option if the matter continues unresolved.

The Maharashtra Charity Commissioner has reportedly granted Sir Dorabji Tata Trust (SDTT) another week to respond to complaints alleging governance irregularities, Business Standard reported.The trust was initially expected to submit its response by Oct 12 but requested additional time.SDTT, one of the principal entities within Tata Trusts, has faced scrutiny following disagreements at a Tata Sons board meeting on Sept 17.Tata Trusts Vice-Chairmen Venu Srinivasan and Vijay Singh, both SDTT trustees, have sought an investigation into the trust's administration. Tata Trusts Row: Venu Srinivasan, Vijay Singh Say They Were Not Consulted On Tata Sons Reorganisation PlanTheir complaints allege governance lapses and question SDTT's involvement in Tata Sons' commercial decisions instead of concentrating on philanthropic activities.They also raised concerns about the perpetual trusteeship of Tata Trusts Chairman Noel Tata.The other principal entity, Sir Ratan Tata Trust (SRTT), was reportedly frozen by the Charity Commissioner earlier this year over alleged regulatory violations.Tata Trusts collectively holds approximately 66% of Tata Sons, the conglomerate's holding company.SDTT owns 27.98%, while SRTT holds 23.56%. Five other trusts account for the remaining shareholding within the Tata Trusts structure. Tata Sons Listing Fuel DisputeThe controversy intensified during the Sept 17 Tata Sons board meeting, where directors considered extending Chairman N Chandrasekaran's tenure beyond February 2027.The proposed listing of Tata Sons, linked to Reserve Bank of India (RBI) requirements, was another contentious issue.Srinivasan supported Chandrasekaran's third term, while Noel Tata opposed the proposal and reportedly exercised his veto.The disagreement triggered questions about whether a casting vote could resolve the deadlock among nominee directors.Legal opinions reportedly differ on interpreting the Tata Sons Articles of Association, which require an affirmative majority of nominee directors for certain decisions.Before the meeting, SDTT had passed a resolution seeking to prevent Srinivasan from participating in board deliberations.The move followed his support for listing Tata Sons, a position opposed by Tata Trusts.Srinivasan resisted the resolution and participated in voting on Chandrasekaran's tenure.However, the board did not vote on the proposed listing.The dispute has consequently brought renewed attention to governance arrangements and decision-making within the Tata group.

The complaint made allegations about governance lapses at Sir Dorabjee Tata Trust, and alleged that the Trust has overstepped its role as a charitable trust in transactions involving Tata Sons.

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