RoC may classify Tata Sons as 'public company': Report

RoC may classify Tata Sons as 'public company': Report

Ratan Tata. (PTI photo)

The Registrar of Companies (RoC) may soon change Tata Sons' classification to a 'public company' from a 'private company,' according to a report on The Economic Times. 

Top officials in the Corporate Affairs Ministry, which oversees the RoC, are sourcing the required documents, as per the report.

Cyrus Mistry’s legal team is believed to be in touch with RoC officials to ensure the change happens quickly. “We don’t see any reason why the RoC cannot make the change as fast as it did for Tata Sons,” said a member of Mistry’s team.

Also read — NCLAT holds changing Tata Sons from public to pvt firm

The move comes after the National Company Law Appellate Tribunal (NCLAT) on Wednesday quashed the conversion of Tata Sons - the principal holding company and promoter of Tata firms - into a private company from a public firm, terming it "illegal".

The NCLAT, which ordered reinstatement of ousted Cyrus Mistry as Chairman of Tata Sons, in its order said action taken by the RoC to allow the firm to become a private company was against the provisions the Companies Act, 2013 and 'prejudicial' and 'oppressive’ to the minority members and depositors'.

Also read — NCLAT restores Mistry as Tata Group Executive Chairman

"The Company (Tata Sons) shall be recorded as ‘Public Company’. The RoC will make correction in its record showing the Company as ‘Public Company," said the NCLAT.