The Maharashtra Charity Commissioner has reportedly granted Sir Dorabji Tata Trust (SDTT) another week to respond to complaints alleging governance irregularities, Business Standard reported.
The trust was initially expected to submit its response by Oct 12 but requested additional time.
SDTT, one of the principal entities within Tata Trusts, has faced scrutiny following disagreements at a Tata Sons board meeting on Sept 17.
Tata Trusts Vice-Chairmen Venu Srinivasan and Vijay Singh, both SDTT trustees, have sought an investigation into the trust's administration.
Their complaints allege governance lapses and question SDTT's involvement in Tata Sons' commercial decisions instead of concentrating on philanthropic activities.
They also raised concerns about the perpetual trusteeship of Tata Trusts Chairman Noel Tata.
The other principal entity, Sir Ratan Tata Trust (SRTT), was reportedly frozen by the Charity Commissioner earlier this year over alleged regulatory violations.
Tata Trusts collectively holds approximately 66% of Tata Sons, the conglomerate's holding company.
SDTT owns 27.98%, while SRTT holds 23.56%. Five other trusts account for the remaining shareholding within the Tata Trusts structure.
Tata Sons Listing Fuel Dispute
The controversy intensified during the Sept 17 Tata Sons board meeting, where directors considered extending Chairman N Chandrasekaran's tenure beyond February 2027.
The proposed listing of Tata Sons, linked to Reserve Bank of India (RBI) requirements, was another contentious issue.
Srinivasan supported Chandrasekaran's third term, while Noel Tata opposed the proposal and reportedly exercised his veto.
The disagreement triggered questions about whether a casting vote could resolve the deadlock among nominee directors.
Legal opinions reportedly differ on interpreting the Tata Sons Articles of Association, which require an affirmative majority of nominee directors for certain decisions.
Before the meeting, SDTT had passed a resolution seeking to prevent Srinivasan from participating in board deliberations.
The move followed his support for listing Tata Sons, a position opposed by Tata Trusts.
Srinivasan resisted the resolution and participated in voting on Chandrasekaran's tenure.
However, the board did not vote on the proposed listing.
The dispute has consequently brought renewed attention to governance arrangements and decision-making within the Tata group.
