Khambata’s exit won’t dent Noel Tata’s control, but would weaken his camp

Senior lawyer Darius Khambata’s decision not to seek reappointment as a trustee of the Sir Dorabji Tata Trust (SDTT) and Sir Ratan Tata Trust (SRTT) is unlikely to alter Noel Tata’s control over the Tata Trusts in the immediate future. However, his departure is a setback for the chairman, who loses an important ally at a time when differences among trustees are increasingly disrupting the functioning of the institutions.

Khambata’s decision is understood to stem from the near impossibility of securing the unanimous consent required for his reappointment. Trustees Venu Srinivasan and Vijay Singh are expected to oppose another term, making a consensus difficult to achieve.

The SDTT has six trustees, including Khambata. Noel’s support has effectively narrowed to three, against two dissenters—Srinivasan and Singh. The appointments of Neville Tata and Bhaskar Bhat in November 2025 helped Noel retain his majority and maintain control of the trust.

At the SRTT, where the Maharashtra Charity Commissioner has blocked the convening of board meetings, Srinivasan remains the lone dissenting voice. Noel enjoys the support of Jehangir H.C. Jehangir. His half-brother Jimmy Tata is also a trustee, though he rarely participates in key decisions.

In his letter to Noel Tata and CEO Siddharth Sharma, Khambata made it clear that he was unwilling to seek the consent of fellow trustees for another term. “That is a consent that it is not in my character to seek as it would compromise my independence to do so,” he wrote.

Khambata’s departure is a setback for Noel, given the lawyer’s support in managing dissent within the trusts, sources in Noel’s camp said. They alleged that several coordinated efforts were underway to capture the institution.

Noel also faces a separate institutional hurdle. The Maharashtra Charity Commissioner is yet to allow the SRTT to convene a board meeting following Srinivasan’s complaint. Without such a meeting, the trust cannot jointly nominate a representative with the SDTT for the Tata Sons AGM, where chairman N. Chandrasekaran’s directorship renewal will be considered. The nominee could potentially play a decisive role in opposing his reappointment.

Srinivasan and Singh have also filed complaints concerning the SDTT, including the appointments of Noel and Neville Tata. Noel and his son have filed caveats, signalling that the dispute could spill into the courts.

Chandrasekaran, meanwhile, has already secured an extension for a third term at the last Tata Sons board meeting, despite Noel exercising his veto against the decision.

Noel has also sought to influence the next phase of Tata Sons’ strategy. In two recent letters to the board, he asked it to consider the business reorganisation proposal put forward by Tata Trusts to avoid a listing of the conglomerate’s holding company. He also sought consideration of the Shapoorji Pallonji Group’s proposed partial exit, valued at ₹25,000 crore.

Both matters are expected to come up at the next Tata Sons board meeting, scheduled for November 26. The board has yet to respond to either of Noel’s letters.

Khambata’s exit, therefore, does not immediately change the balance of power within the trusts. But it removes an influential voice from Noel’s camp.