Tata Sons is finally holding a board meeting on Tuesday, May 26. This comes as the first major governance huddle in months as the group navigates an extended period of internal disagreements, deferred decisions and legal challenges within Tata Trusts, the philanthropic entities that collectively own around 66% of Tata Sons.
The meeting comes nearly 18 months after the death of Ratan Tata in October 2024, a period marked by trustee disputes, postponed board-level discussions and a new state law that has complicated the trusts' internal structure.
Noel Tata Steps In
Following Ratan Tata's death, his half-brother Noel Tata was appointed chairman of Tata Trusts.
1 May 2026
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Shortly after, the trusts introduced a new governance rule under which nominee directors above the age of 75 would undergo annual performance reviews, a mechanism that set the stage for the first major disagreement.
The first visible dispute arose at a Tata Trusts meeting convened to discuss whether Vijay Singh should continue as a nominee director on the Tata Sons board.
Trustees Mehli Mistry, Darius Khambata, Pramit Jhaveri and Jehangir Jehangir opposed Singh's continuation and backed Mehli Mistry — one of Ratan Tata's closest associates — for the Tata Sons board role instead. Some trustees also raised concerns about whether nominee directors were adequately updating the trusts on key board-level matters, previous reports stated.
Noel Tata and Venu Srinivasan opposed replacing nominee directors mid-term and argued that appointments should follow an institutional process. The meeting ended without consensus.
Mehli Mistry Speaks Out, Then Exits
Minutes of a September 2025 Tata Trusts meeting, reported by the Economic Times, recorded that Mehli Mistry told fellow trustees he was "dismayed" that Noel Tata had not backed his candidature, citing the support he had extended to Noel during leadership discussions that followed Ratan Tata's death.
When Mehli Mistry's continuation as trustee came up for renewal shortly after, Noel Tata, Venu Srinivasan and Vijay Singh were unlikely to support his extension, effectively ending his tenure at Tata Trusts. Trustee appointments at Tata Trusts had historically been made unanimously, making his exit a significant departure from past practice.
The Maharashtra Ordinance
In 2025, the Maharashtra government introduced the Maharashtra Public Trusts (Amendment) Ordinance, 2025, which limits the number of lifetime, or "perpetual," trustees a public trust can appoint.
The ordinance directly bears on Tata Trusts, where some members have historically held lifetime positions. Legal challenges linked to the ordinance subsequently emerged and were reportedly cited as among the reasons for the postponement of an early May 2026 Tata Trusts meeting.
Governance Debates Widen Through Late 2025
In the months that followed Mehli Mistry's exit, discussions within Tata Trusts expanded to cover the role of nominee directors, the flow of information between Tata Sons and the trusts, and whether Tata Sons should remain an unlisted private company.
Tata Sons' classification as an upper-layer NBFC had earlier triggered regulatory discussions around a possible IPO. During the same period, the Tata Group was investing in Air India, semiconductors, electronics manufacturing and digital businesses.
Chandrasekaran's Third Term Deferred
A Tata Sons board meeting in February 2026 was expected to approve N Chandrasekaran's third term as chairman. The matter was deferred following discussions around losses in new businesses, debt levels and capital allocation, reports said.
Noel Tata raised concerns about Air India's losses and investments in newer ventures, according to the report. Chandrasekaran suggested postponing the discussion to allow for broader alignment between Tata Sons and Tata Trusts.
Several Tata Trusts meetings and governance discussions were subsequently postponed over the following months.
What Is on the Table Today
Tuesday's Tata Sons board meeting is not expected to revisit Chandrasekaran's third term, according to a PTI report.
Individual companies, particularly those under financial pressure, are expected to present business performance updates and future strategy before the board. The Tata Group's unlisted businesses posted losses of Rs 10,905 crore in FY25, a figure that could rise further.
Chandrasekaran is also expected to present the group's long-term position on whether Tata Sons should remain unlisted, an issue that has remained unresolved over the past several months.
