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Published: Thu, November 10, 2016
Economy | By Melissa Porter

Tata Sons replaces Cyrus Mistry as TCS chief

Tata Sons replaces Cyrus Mistry as TCS chief

"The reasoning behind Tata Sons' decision to remove Cyrus Mistry as Chairperson and Executive Directors is yet unknown publicly: Tata Sons' board is asking investors to blindly trust them", the report, which has been scathingly critical in the manner in which Mistry was removed, says.

Surprisingly, Tata Sons zeroed in on Ishaat Hussain as TCS chairman who was one of the two board members to have abstained from the holding company's board meeting late last month which made a decision to pull the plug on Cyrus Mistry.

Mumbai: Tata Consultancy Services Ltd has nominated Ishaat Hussain as the interim chairman of the board of directors replacing Cyrus P. Mistry, with immediate effect, the company said in a statement to the stock exchanges on Thursday.

Hussain has been serving as the finance director of the company since July 2000.

He will replace Cyrus Mistry who was relieved as Chairman of conglomerate Tata Group last month.

The company has been further informed that Hussain shall hold office as chairman until a new chairman is appointed in his place, the release added.

Today, Tata Chemicals, another company where Mr Mistry is chairman, will hold a board meeting and Mr Mistry is expected to attend. His family controls an 18.41 percent stake in Tata Sons. A Tata Sons spokesperson did not comment on the forthcoming board meetings. After Cyrus Mistry's removal, his predecessor Ratan Tata was back at the helm as chairman after almost four years.

He recently chaired the board meeting of the distressed telecom arm of the group, Tata Teleservices, at the Bombay House, the group headquarters on November 7. Besides, he is also the chairman of Voltas and Tata Sky. Moreover, Mistry's stance has been bolstered after six independent directors on the board of Indian Hotels publicly espoused support for him.

Ishaat Hussain is a director of several Tata companies, including Tata Steel and air conditioning and engineering arm Voltas Ltd, and now serves as chairman of Voltas and satellite television provider Tata Sky.

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