Maharashtra Charity Commissioner closes Tata Trusts share inquiry

The Maharashtra Charity Commissioner has closed a complaint seeking an inquiry into a 1989 share transfer involving Tata Trusts. The matter concerned the transfer of 833 shares of Tata Sons Private Limited from the Navajbai Ratan Tata Trust (NRTT) to Naval H Tata.

Following a detailed examination of documents and responses, the Commissioner concluded that the transfer was lawful and necessitated by statutory requirements. The findings indicated that the transaction was completed with proper documentation and that the Trust received appropriate consideration based on a valuation agreed upon by the Commissioner of Wealth Tax. The Trust reportedly earned a profit on the transaction, which was recorded in its March 31, 1989, balance sheet.

The shares were transferred under the condition that they would not be sold to a third party and would remain within the recipient's family. The Commissioner ruled that no further inquiry under the Maharashtra Public Trusts Act, 1950, was warranted. Additionally, the order criticized the conduct of the complainant, Vijay Singh, a trustee of NRTT, noting an intention to suppress information from other trustees.