Tata Turmoil: Noel Tata, Chandrasekaran Held Separate Talks With Govt Before Exit

Tata Trusts chairman Noel Tata and outgoing Tata Sons chairman N Chandrasekaran separately engaged with senior government functionaries over tensions within the Tata group before Chandrasekaran announced that he would not seek another term.

The discussions involved differences between the two leaders on issues related to strategy and governance, uncertainty surrounding Chandrasekaran's reappointment, and the direction of the conglomerate's newer businesses, as per a report by the Times of India (TOI).

Concerns surrounding certain appointments and losses at Air India, Tata's digital businesses and semiconductor ventures were also raised during the separate engagements, the report said.

Chandrasekaran had announced on August 12 that he would step down when his term ends on February 20, 2027.

Tata Leaders Reached Out To Govt

The government did not initiate the discussions, the report said. Instead, Noel Tata and Chandrasekaran approached government officials, who heard their concerns without taking sides in the internal differences.

While governments generally remain informed about developments involving systemically important companies, it is unusual for political leaders to be briefed on internal matters at a private-sector conglomerate that is not facing a financial crisis or insolvency proceedings.

The latest developments come against the backdrop of earlier engagement between Tata group leaders and the government.

Tensions within Tata Trusts in 2025 prompted Noel Tata, Chandrasekaran and other trustees, including TVS Motor chairman emeritus Venu Srinivasan, to separately meet senior government functionaries, as per TOI.

Those discussions focused on divisions within the Trusts, which are the controlling shareholders of Tata Sons, as well as proposed regulations concerning the holding company's corporate structure.

Delhi Visit And Tata Sons IPO

Noel Tata was in Delhi over the weekend, although people close to him told TOI that the visit was related to Trent and had no connection with succession at Tata Sons.

Noel Tata, who is Trent's non-executive chairman, is scheduled to relinquish that position in November under the group's retirement rules, the TOI report said.

Separately, Noel Tata met senior Reserve Bank of India (RBI) officials in June 2026 to raise concerns about a possible Tata Sons IPO, which could dilute Tata Trusts' control.

A trustee said that recurring friction between the Tata Sons chairman and Tata Trusts chairman, seen earlier during the Cyrus Mistry era and now under Chandrasekaran, suggested a deeper structural issue. "You have to find a way out," the trustee said, adding that an IPO was one possible solution, as per TOI.