Thursday, July 06, 2017

Tata Sons refutes Cyrus Mistry's charges in AirAsia case

Mumbai: Tata Sons on Wednesday refuted former chairman Cyrus Mistry's statement of wrongdoings in AirAsia India by R Venkataramanan (Venkat), a close aide of Ratan Tata.
Mistry, in his email written a day after being removed from the chairman's post last October as well as in his filings with the company law tribunal, had stated that fraudulent transactions of about Rs 22 crore took place at AirAsia India involving "non-existent parties" in the country and Singapore. He also stated that Venkat considered these transactions as "non-material and didn't encourage further investigation".
The Rs 22-crore transaction is currently under the scanner of Enforcement Directorate.
Venkat, the managing trustee of Tata Trusts, is a shareholder and director of AirAsia India, a joint venture between Tata Sons and Malaysia's low-fare carrier AirAsia.
Tata Trusts, the majority shareholder of Tata Sons, was the force behind Mistry's removal from the chairmanship.
"We strongly reject the statement from Mistry which seeks to insinuate wrongdoings in the affairs of AirAsia India by (Venkat)," Tata Sons said.
Tata Sons further said that the company, along with AirAsia India, has taken steps in civil and criminal courts "which have cleared the air in relation to the mischievous allegations" by Mistry's family-run companies in the tribunal proceedings.
-06/07/17 Reeba Zachariah/Times of India