TCS, Tata Chemicals, other Tata stocks tumble up to 8% as Tata Trusts calls Chandrasekaran’s tenure extension illegal

Tata group stocks fell sharply, with Tata Chemicals dropping 8 percent, Tata Investment Corp down 5 percent, and TCS sliding 3.5 percent, after Tata Trusts publicly termed the Tata Sons board's decision to extend N. Chandrasekaran's tenure as executive chairman by five years as illegal. Tata Trusts, which holds 66 percent of Tata Sons through the Sir Ratan Tata Trust and Sir Dorabji Tata Trust, said the resolution was a legal nullity under Tata Sons' Articles of Association, with Noel Tata as the sole dissenter. The dispute comes days after the RBI rejected Tata Sons' request to remain unlisted, ruling that upper-layer NBFC listing norms apply to it, while the deferred AGM remains clouded by the Maharashtra charity commissioner's bar on the Sir Ratan Tata Trust from voting.