India’s market regulator is looking to tighten regulations related to the appointment and removal of directors from company boards amid an ongoing spat between the Tata group and its ousted chairman Cyrus Mistry, CNBC-TV 18 cited sources as saying on Sunday.
The news channel did not provide much detail on the steps it said were being considered by the Securities and Exchange Board of India (SEBI).
The bitter boardroom battle between Tata Sons and Mistry, who has complained of mismanagement and corporate governance failures within the company, has also seen the ousting of Nusli Wadia, one of the group’s outspoken independent directors, after he publicly backed the former chairman.
The spat has put the spotlight on the vulnerability of independent company directors in India who stand-up to, or take on, a dominant shareholder.
A SEBI spokesperson did not have an immediate comment on the story.