Tata Trusts Mulls Formal Deed for Sir Ratan Tata Trust After Trustees’ Dispute

Noel Tata-led Tata Trusts is reportedly weighing options to draft a formal trust deed for its key public charitable arm, the Sir Ratan Tata Trust (SRTT). The move comes after the institution that controls the Tata Group recently faced a major public dispute among its trustees.

The proposal, according to a report by The Economic Times (ET), has been discussed with legal professionals. SRTT, along with the Sir Dorabji Tata Trust, owns about 52% stake in Tata Sons, the holding company of the salt-to-technology conglomerate.

The Sir Dorabji Tata Trust operates under a formal trust deed executed in 1932, following Sir Dorabji Tata’s death. The Sir Ratan Tata Trust, on the other hand, still functions under a 1918 will.

In a recent dispute between a group of trustees led by Mehli Mistry and chairman Noel Tata, the rules defined under the will came under scrutiny, especially concerning the lifetime appointment of trustees. The dispute later led to Mistry’s exit from Tata Trusts.

Experts also believe it triggered a Maharashtra state government amendment limiting the number of lifetime trustees in a public trust. The Maharashtra Public Trusts (Amendment) Ordinance, 2025, introduces new rules governing trustee appointments and tenure, and prescribes that perpetual trustees cannot exceed one-fourth of a trust’s total board strength.

Redrawing Power in Tata Trusts

A formal trust deed, if adopted, would also be seen as another step by Noel Tata to consolidate control over the Trusts after Mistry’s exit and amid plans to induct his son, Neville Tata, into SRTT.

Neville, who is already an executive at Tata Group’s retail fashion arm Trent, was inducted into the Sir Dorabji Tata Trust in November 2025. Reports at the time claimed that his appointment to the Sir Ratan Tata Trust was blocked by long-time trustee Venu Srinivasan, who asked for further deliberation on the matter.

A meeting regarding his induction was reportedly postponed in January due to a lack of quorum. As per the ET report, Tata Trusts is scheduled to hold another meeting today, during which Neville Tata’s induction could come up for consideration.