Vijay Singh seeks Maharashtra inquiry into Sir Dorabji Tata Trust governance

Vijay Singh, vice-chairman of Tata Trusts and a trustee of the Sir Dorabji Tata Trust, has asked Maharashtra’s Charity Commissioner to investigate the trust’s governance and its involvement in Tata Sons, according to the Economic Times report cited by India Today. Singh has questioned whether the trust’s substantial shareholding in Tata Sons permits it to participate directly in the company’s commercial and strategic affairs. He also raised possible tax consequences if activities were found not to be incidental to the trust’s charitable objectives.

Singh has sought action based on the findings of any inquiry, including suspension or removal of trustees where warranted. He also asked for directions to restrain the trust and its board from conducting certain meetings or processes while an inspector’s inquiry is pending, while requesting that the current board composition be maintained. His complaint follows a similar submission by Venu Srinivasan, another Tata Trusts vice-chairman and SDTT trustee.

Srinivasan had sought scrutiny of Noel Tata’s appointment and continued status as a perpetual trustee and chairman of Tata Trusts, as well as the appointment of Noel Tata’s son Neville as a trustee. Tata Trusts has asked to be heard before any decision on the complaints. The dispute coincides with a proposal to merge two Tata businesses into Tata Sons, intended to alter its regulatory classification and address a potential listing requirement.

The proposal requires consideration by the Tata Sons board and a no-objection certificate from the Reserve Bank of India.