Tata chair Chandrasekaran to step down after tension with controlling charity arm

Tata Sons chairman N. Chandrasekaran announced on Wednesday that he will not seek reappointment at the end of his term, citing a lack of support from the board. The tension arose from disputes with the charity arm, Tata Trusts, which owns 66% of the conglomerate. The two sides have clashed over key issues such as whether Tata Sons should be listed, the losses at Air India, the planned exit of a minority shareholder, and board representation.

The discord has been ongoing for several months, with Tata Sons postponing a decision on reappointing Chandrasekaran after Tata Trusts opposed the move in February. Despite the upcoming departure, Chandrasekaran stated he would remain in the position until February. The Tata group, a 158-year-old conglomerate, is currently grappling with losses at its airline division Air India, declining sales for its Jaguar Land Rover business, and fallout from a data leak at its electronics arm, impacting top clients like Apple and Tesla.