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Ratan Tata well aware of DoCoMo decisions: Cyrus Mistry

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Mumbai, 01 Nov 2016 : Amid allegations that the manner in which the Tatas’ break-up with DoCoMo was handled by Cyrus Mistry was among the reasons that led to his ouster as Tata Sons chairman, his office on Tuesday said that all decisions were in concurrence with Ratan Tata and the board.

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“To begin with, the agreement with DoCoMo had been executed before Mistry became executive chairman of the Tata Group,” said an eight-point statement from the office of Cyrus Mistry.

“Insinuations that DoCoMo issue was handled under the watch of Mistry in a manner inconsistent with Tata culture and values are baseless. Suggestion that Ratan Tata and trustees would not have approved of the manner in which the litigation was conducted is contrary to what transpired.”

This was in reference to the $1.17 billion compensation sought by DoCoMo for breach of contract.

The statement went on to add that the Tatas requested DoCoMo to join them in seeking the approval of the Reserve Bank of India, but the Japanese entity did not agree. While Tatas applied for RBI approval, DoCoMo initiated arbitration since such a nod was not forthcoming.

“The award was passed in favour of DoCoMo and against the Tatas. The Tatas under Mistry did not challenge the award in the UK. On the contrary, RBI was approached once again by the Tatas for permission to pay the amount awarded. RBI again refused permission,” the statement said.

Tatas also deposited Rs.8,000 crore in Delhi High Court where DoCoMo sought enforcement of the award.

“Throughout the above process, Ratan Tata and N.A. Soonawala, Trustee, were kept informed and they participated in separate meetings held with Mistry,” said the statement, seeking to clearly state that the top management was kept in the loop.

“They also participated in the meeting with the legal counsel (a trustee of Dorabji Tata Trust who represented Tatas in the litigation). At all times Ratan Tata and Soonawala concurred and approved the course of action adopted by Tatas and as advised by legal counsel,” it said.

“All decisions were taken with the unanimous approval of the Tata Sons Board. In fact, all decisions were collective decisions and the actions were consistent with every such collective decision,” it added.

“In light of the above facts, to suggest that Mr. Mistry acted on his own, or contrary to ‘Tata values’ or without the knowledge and/or concurrence of Ratan Tata and Soonawala is as false as it is mischievous.”

Japan’s NTT DoCoMo had acquired 26.5 per cent equity in Tata Teleservices for approximately $2.5 billion in March 2009. In July 2014, DoCoMo told Tata Sons it was opting out. As per the terms of the deal, it wanted the higher of either half the amount invested or fair market price.

But in February 2015, the Reserve Bank turned down Tata’s request to compensate DoCoMo, after which the Japanese company moved the London Court of International Arbitration. The court directed the Tatas to pay DoCoMo $1.17 billion in compensation.

The payment was not made, Tatas deposited $1.17 billion in a Delhi court, awaiting directions.

Tata Sons removed Mistry, 48, as chairman of Tata Sons last month saying he lost the confidence of the board due to several factors and that the trustees were increasingly concerned with the growing trust deficit. Ratan Tata, who had made room for Mistry four years ago was reinstated as the chair in an interim capacity.

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Put farm laws on hold or we will do it, Chief Justice Bobde tells government

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New Delhi, 11 Jan : A Supreme Court bench led by Chief Justice S. A. Bobde on Monday toughened its stand on the farm laws and said the court has made up its mind to stay the implementation of the three farm laws, which have led to the protest by thousands of farmers at various Delhi borders.

“What is going on? States are rebelling against your laws”, a bench headed by Chief Justice S A Bobde told the Centre. “We are extremely disappointed with the negotiation process,” he said.

“If the Centre does not want to stay the implementation of farm laws, we will put a stay on it,” the CJI added.

“We don’t want to make any stray observations on your negotiations but we are extremely disappointed with the process,” said the bench, also comprising Justices A S Bopanna and V Ramasubramanian.

The apex court, which was hearing a clutch of pleas challenging the new farm laws as well as the ones raising issues related to the ongoing agitation at Delhi borders, said it is not talking about the repeal of these farm laws at the moment.

“This is a very delicate situation,” the bench said, adding, “There is not a single petition before us which says that these farm laws are beneficial.”

“We will stay implementation of laws,” the CJI said. “You can carry on the protest. But the question is whether the protest should be held at the same site,” he added.

“Some people have committed suicide, old people and women are a part of the agitation. What is happening?” he said.

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Farmer agitation enters 47th day, all eyes on SC hearing pleas on protests

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New Delhi, 11 Jan : The farmer agitation on the borders of the national capital entered the 47th day on Monday as the farmers have taken to the streets protesting against the three central farm laws. But now all eyes are glued on the Supreme Court which would conduct a hearing on various pleas related to the farmers’ agitation and the new farm laws on Monday.

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Talks with farmers end without breakthrough, dialogue may resume on Jan 8

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New Delhi, 4 Jan : The crucial seventh round of talks between the government and 41 farmers representatives ended without any breakthrough and the next round of talks is expected on January 8, sources said.

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