New Delhi : The Tata steel board on Friday appointed O P Bhatt as the new interim chairman of the company till the next general meeting of shareholders on December 21.
Bhatt has replaced Cyrus Mistry who was earlier sacked on October 24. The board met today and moved a resolution to remove Mistry. Out of nine directors who moved the order six supported in the favour of his ouster while three other opposed the move.
A release from the Tata said “The Board appointed the independent director as the Chairman keeping in mind principles of good corporate governance and to provide impartial leadership to the Company in its preparation and conduct of the EGM. This decision was taken to also ensure stability to the company and in the larger interest of Tata Steel’s stakeholders including but not limited to employees, trading partners, financial stakeholders and local community around its operations,”
Notably, Bhatt who was formerly chairman of SBI was appointed as an independent Director of the company on June 10, 2013. He serves as an independent Director on several Board including Standard Chartered Bank, TCS.
Notably, in a sudden stance Mistry was sacked from the post on October 24 for no concrete reasons as the move still remains under the cloud. Change in leadership could be credited to Mistry’s recent toughened stance on taking strong actions for right reasons as opposed to his predecessor Ratan Tata’s talismanic and all acquiring stance to raise the conglomerate with a mere 10,000 crore turnover in 1991 to a massive 475,721 crore in 2011-12.