Mehli Mistry rules out reinstatement as Tata Trusts trustee, seeks final order on complaints: Report

Mehli Mistry, former trustee of the Sir Dorabji Tata Trust (SDTT) and the Sir Ratan Tata Trust (SRTT), has informed the Maharashtra charity commissioner that he does not wish to be reinstated as a trustee, reported Money Control citing people familiar with the development said.

Mistry had stepped down from multiple Tata Trusts earlier this year, including the SRTT, SDTT and the Bai Hirabai Jamsetji Tata Navsari Charitable Institution (BHJTNCI).

Following his exit, Mistry lodged several complaints with the charity commissioner against fellow trustees, among them Venu Srinivasan, chairman emeritus of TVS Motor Company and a member of the Tata Sons board, and Vijay Singh, a Tata Trusts trustee and former defence secretary.

The matter is likely to come up for a hearing on October 15.

What did Mistry say in his complaints?

Mistry, in his communication, also requested the charity commissioner to issue a final decision on the complaints he had previously lodged. He had filed at least two petitions alleging irregularities in the functioning of the SDTT and SRTT, with the first submitted on June 5 and the second on July 13.

The complaints raised several allegations against fellow trustees, including Srinivasan and Singh. Srinivasan serves as a trustee of both charitable organisations and represents Tata Trusts on the Tata Sons board. Singh, who was earlier associated with both the SDTT and SRTT as a trustee, stepped down from his position at the latter in August.

Among the issues raised by Mistry was the eligibility of the two trustees to hold their positions. He contended that the trust deeds stipulate that only individuals belonging to the Parsi community can be appointed as trustees of Tata Trusts, alleging that neither Srinivasan nor Singh met this requirement.

According to the complaint to the commissioner on July 13 as reported by Money Control, Mistry stated, “I fail to understand how individuals who do not meet the qualifications prescribed under Clauses 6 and 18 of the afore-mentioned trust deed, and who are therefore not trustees, can purport to be appointed as trustees of the trust.”

He added, “Any appointment of and continuing exercise of authority by a person ex facie not satisfying the qualifications for such appointment and in fact, ex facie attracting disqualifications under the Trust Deed, amounts to a blatant act of cheating, fraud, criminal breach of trust and is gross maladministration of the Trust.”

Mistry also referred to an earlier case involving Srinivasan over alleged idol theft. The matter, initiated by activist Rangarajan Narasimhan, seeks action against Srinivasan over a 2004 incident in which antique idols, including a peacock Amman idol, were allegedly stolen and replaced without authorisation during renovation work at the Sri Kapaleeswarar Temple in Chennai.

Srinivasan was a member of the government-appointed committee overseeing the temple’s renovation at the time. The matter is currently pending before the Supreme Court.

Mistry also accused Singh of having financial conflicts of interest, alleging that he had received commissions exceeding ₹20 crore from several Tata Group companies, including Tata Sons, Tata Advanced Systems and Tata Sikorsky Aerospace.

In his July 13 letter, Mistry questioned the propriety of a trustee receiving substantial financial benefits from companies associated with the trusts, stressing that such positions required independence and transparency.

“A trustee is bound by strict fiduciaries duties to act solely in the best interests of the trust and avoid conflict of interest. The receipt of substantial financial benefits by a Trustee from entities connected with the Trusts and due to his nomination on behalf of the Trust, the same is prima facie inconsistent with such obligations,” Mistry said in his letter.

“The role of a Trustee demands the highest standards of probity, transparency and undivided loyalty, and the reported conduct raises serious questions regarding propriety, governance and adherence to the foundational principles governing the Trusts, which is in public domain,” he further said.