A governance dispute within Tata Trusts has intensified after trustees Venu Srinivasan and Vijay Singh accused fellow trustee Darius Khambata of attempting to alter the balance of power within Sir Dorabji Tata Trust.
As per a report by Moneycontrol, the two trustees in a five-page letter dated Nov 11 alleged that Khambata had engineered changes to the Trust's composition to influence key decisions involving Tata Sons.
They questioned whether resistance to listing Tata Sons reflected concerns about protecting the Tata model or retaining control over the holding company.
Srinivasan and Singh alleged that Khambata had sought Srinivasan's temporary removal to facilitate the appointment of two trustees in November 2025 without unanimous consent.
They also questioned his position on Tata Sons Chairman N Chandrasekaran's reappointment.
According to the letter cited in the report, trustees of Sir Dorabji Tata Trust and Sir Ratan Tata Trust unanimously recommended another five-year term for Chandrasekaran on July 28, 2025.
The trustees claimed Khambata supported and helped draft that resolution. However, Chandrasekaran's reappointment was deferred in February 2026 following changes to the Trust's composition.
They said no subsequent resolution had overturned the earlier recommendation.
The letter also alleged that prolonged uncertainty prompted Chandrasekaran to reconsider seeking another term, although the Nomination and Remuneration Committee urged him to reconsider.
The dispute also concerns the September 2025 decision not to renew Vijay Singh's tenure as a Tata Sons nominee director.
Srinivasan and Singh alleged that four trustees, including Khambata, opposed the renewal to strengthen resistance to a potential Tata Sons listing.
They argued that nominee directors owed fiduciary duties to Tata Sons rather than automatically following the Trusts' preferences.
The trustees also disputed claims that listing would undermine the Tata model.
Citing the Reserve Bank of India's regulatory assessment, they maintained that Tata Sons remained subject to applicable listing requirements.
They further questioned whether maintaining corporate control was compatible with the fiduciary responsibilities of charitable trusts.
In a letter dated November 2 and addressed to Tata Trusts chairman Noel Tata and CEO Siddharth Sharma, Khambata criticised the September 17 Tata Sons board meeting at which the reappointment of N Chandrasekaran was discussed.
The letter reportedly contained strong objections to the manner in which the meeting was conducted.
He also announced that he would not seek another term as a trustee of either the Sir Dorabji Tata Trust or the Sir Ratan Tata Trust.
Khambata further questioned the decision of Srinivasan and Singh to favour a listing of Tata Sons in April 2026, despite earlier unanimous resolutions against the proposal.
He argued that a stock market listing could alter the fundamental character of the Tata model by exposing the holding company to pressure from shareholders focused on short-term returns.
This, he cautioned, could constrain its ability to pursue long-term investments and extend support to financially distressed group companies.
He also questioned whether the Tata Sons board would have taken the same decisions at the September 17 meeting had Ratan Tata been alive.
As per the report, Srinivasan and Singh rejected this comparison in their response. They argued that Ratan Tata's influence came from years of building consensus and earning the confidence of stakeholders, rather than simply holding a particular position.
