Maharashtra Charity Commissioner Asks Sir Dorabji Tata Trust to Respond to Venu Complaint by October 12

The Maharashtra Charity Commissioner has served the Sir Dorabji Tata Trust with a formal directive. Demanding that the trust respond to allegations levelled by its own vice-chairmen, Venu Srinivasan and Vijay Singh, by October 12.

The complaints, filed by the duo, claim that the trust has overstepped its charitable remit by meddling in Tata Sons' commercial and strategic operations, a move that has sparked significant concern among stakeholders.

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The commissioner's decision comes after chairman Noel Tata and his son. Neville Tata, an SDTT trustee, filed six caveats on September 30 to pre-empt adverse orders against the trust and themselves. The two, who are also trustees of six other Tata trusts that hold shares in Tata Sons, filed 30 more caveats.

The 36 filings, running to 150 to 200 pages, invoked Sections 41D and 47 of the Maharashtra Public Trusts Act, which deal with the removal of trustees and suspension of a trust board, respectively.

In May, the commissioner barred the Sir Ratan Tata Trust (SRTT), the second-largest shareholder in Tata Sons, from holding board meetings after Srinivasan complained that its board composition violated the Act. The complaint argued that three members of SRTT's then six-member board were perpetual trustees. Above the statutory cap of 25% of a trust's board strength.

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Two high-profile petitions from Srinivasan and Singh could fundamentally alter the Tata Group's governance structure, should the commissioner approve them. Any interim relief would severely restrict the operations of SDTT. Thereby diminishing the sway of the two largest Tata Sons shareholders over key decisions at the holding company.

The commissioner can either hold a hearing involving both the complainants and respondents or decide the matter on the written complaints filed by Srinivasan and Singh and the written submissions made by SDTT. According to a person familiar with the proceedings.