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Tata Sons cannot raise funds overseas, only a public company can do that: Cyrus Ministry tells NCLT
Tata Sons cannot raise funds overseas, only a public company can do that: Cyrus Ministry tells NCLT
Cyrus Mistry has once again approached the National Company and Law Tribunal, NCLT, against Tata Group. This time Mistry in an affidavit has told the tribunal that only a public company can raise funds overseas. Mistry has submitted new filing in the court after it came to light that Tata Group was considering to raise funds in London for philanthropic purposes, according to a report in Economic Times. The $103 billion tea-to-salt conglomerate wants to raise money for Tata Trusts’ charitable causes and for capital needs of the company, the report added.
Mistry has also produced before NCLT a letter written by Ratan Tata on 9 October, 2014 saying, “Tata Trusts was looking at ways to create liquidity for achieving its philanthropic objectives, and also for raising resources to underpin the financing of Tata Group companies,” according to the ET report. Tata Trusts affidavit says, “There has never been any requirement for getting Tata Sons listed to generate any income for the Tata Trusts as they have been able to carry on philanthropic work for almost 100 years.”