Tata Trusts governance has come under fresh scrutiny after trustee Venu Srinivasan reportedly sought an inquiry into the functioning of the Sir Dorabji Tata Trust and Sir Ratan Tata Trust. He has also questioned the appointments of Tata Trusts chairman Noel Tata and his son Neville Tata, according to a CNBC-TV18 report citing sources.
Srinivasan has reportedly asked for an examination of the governance of the two trusts and sought action against trustees if the inquiry finds grounds for suspension or removal. The development comes amid wider differences within the Tata ecosystem over the governance and future structure of Tata Sons, the holding company of the Tata Group.
Questions Over Noel Tata's Appointment
According to the report, Srinivasan has questioned Noel Tata's status as a perpetual trustee and the basis of his appointment as chairman of Tata Trusts.
Noel Tata became chairman of Tata Trusts in October 2024 following the death of Ratan Tata. The trusts had announced that his appointment was unanimously approved by the trustees.
Srinivasan has also raised questions about the appointment of Neville Tata as a trustee and reportedly alleged that he was excluded from important decisions.
Neville Tata joined the Sir Dorabji Tata Trust as a trustee for a three-year term in November 2025. The same announcement appointed Srinivasan as a trustee and vice-chairman for three years.
The Sir Dorabji Tata Trust and Sir Ratan Tata Trust are among the key constituents of Tata Trusts, which holds a 66% stake in Tata Sons.
Tata Sons Listing Issue Adds to Tensions
The Tata Trusts governance dispute comes as Tata Sons faces a major regulatory question over its listing status.
Tata Sons is currently classified as an Upper Layer NBFC under Reserve Bank of India rules, a classification that brings a mandatory listing requirement. Tata Trusts has been exploring ways to restructure the holding company and avoid that requirement.
On September 28, Tata Trusts proposed merging Tata Electronics Systems Solutions Private Limited (TESS) and Tata Consulting Engineers (TCE) with Tata Sons. The trusts said the proposed restructuring could give Tata Sons substantial operating revenue and potentially alter its regulatory classification.
The proposal would still require consideration by the Tata Sons board and a no-objection certificate from the RBI.
Dispute Over Tata Sons Board Decisions
The governance differences also extend to Tata Sons' board decisions. According to the CNBC-TV18 report, Tata Trusts had questioned the validity of a September 17 board resolution concerning the reappointment of N Chandrasekaran as Tata Sons chairman, arguing that it lacked the required support of both trust-nominated directors.
With Tata Trusts holding a controlling 66% stake in Tata Sons, disagreements over trustee appointments, board decisions and the company's regulatory future could have wider implications for the governance of the Tata Group.
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