00:00Let's turn to the very latest in that war that's raging,
00:03succession war in the Tata group.
00:05Days after Noel Tata was outvoted by the Tata sons
00:08to allow N. Chandrasekharan to continue as chairman,
00:11it's becoming increasingly clear that the battle now could go to the law,
00:16to the courts.
00:17Both sides are now tightening up their legal defences for that battle.
00:21Today, Finance Minister Nirmala Sitaraman sparked a bit of a buzz
00:25at an event held by the All India Management Association,
00:29said family-run businesses need professionalization,
00:32such as separating ownership from management,
00:35defining responsibilities, preparing the next generation
00:38and resolving conflicts before they affect the business itself.
00:42The reference was apparently to medium-scale businesses,
00:44but raised eyebrows as it comes amidst the Tata succession battle.
00:49Interestingly, Sharad Pawar, the NCP SP leader,
00:52also reacted to the Tata and has called for protection
00:56of the charitable ownership of the Tata group,
00:58which he described as a national institution rooted in Maharashtra.
01:02He said articles adopted by shareholders
01:04that give trust-nominated directors an affirmative vote on key decisions,
01:08including chairman's appointment, should be honoured.
01:11Effectively, he seems to be batting for Noel Tata.
01:15Now, there are two lawyers, big lawyers, who could be on either side.
01:18Harish Salve reportedly advising the Chandrasekharan camp.
01:22Let's listen in to him and then go to Abhishek Manu Singhvi,
01:25who's appearing most likely for Noel Tata.
01:29First, Harish Salve, what he had to say a few days ago.
01:34One important is they have to turn into a public company.
01:41So, that's all that there is to it.
01:43Now, some Tata trustees are not happy that Tata Sons becomes a public company.
01:49And that's where all the trouble has started.
01:52So, there was a meeting of Tata Sons board.
01:56And there were two trustees who could attend.
01:59Some trustees could not attend because there is some injunction by the charity commissioner
02:03for some disputes which have started between the trustees.
02:06Two of them attended.
02:07One voted yes.
02:08One voted no.
02:10Company cannot be in paralysis.
02:11So, the chairman had a casting vote.
02:14I believe somebody is taking a technical view, saying,
02:16no, no, casting vote is not for the trust and trust majority, etc.
02:20But you can't have a company with two lakh crores worth of assets being held hostage by two trustees.
02:25So, Harish Salve has already made out a case for why he believes
02:29N. Chandrasekharan should be retained as the chairman of Tata Sons.
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