The Tata Sons board has cleared company secretary Suprakash Mukhopadhyay of any violation of the Tata code of conduct. This decision was taken on Thursday after the board reviewed an internal report on his involvement with Divinion, a financial services firm owned by his family.
Sources familiar with the matter told The Times of India that the directors looked at the report in detail and accepted its findings. The report said that while Mukhopadhyay did not make the necessary disclosures to the right authority within Tata Sons, he had not intentionally broken the rules.
Mukhopadhyay had come under scrutiny for either helping or trying to raise money from current and former Tata employees, as well as other people connected to Tata Sons. Tata Sons Chairman N Chandrasekaran had ordered the internal investigation after concerns were raised about a possible conflict of interest between Mukhopadhyay’s connection to Divinion Advisory Services and his duties within the group. “The board extensively discussed the report and ultimately gave Mukhopadhyay a clean chit,” sources told ToI.
As per the Tata code of conduct, a conflict of interest happens when an employee gains unfair benefits for themselves or family members. If such a situation is not disclosed and later found out by management, it can result in disciplinary action. In the case of listed companies, the Securities and Exchange Board of India (Sebi) can also impose penalties for failing to disclose such matters.
Some Tata executives told those writing the report that they had invested in Divinion after being approached by Mukhopadhyay’s daughter through her father, ToI had reported. They said they were not aware of his link to the firm. The full report was shared with all Tata Sons board members.
On Wednesday, the Tata Trusts board — which is the parent organisation of Tata Sons — had also discussed the report. It suggested that its nominated directors should take actions that are correct and fair.
Divinion was set up in December 2020 and manages assets worth more than Rs 90 crore. The company is owned equally by Mukhopadhyay’s wife and two daughters, each holding a 33.3% share. Divinion sponsors the Divinion Alternative India Fund (DAIF), which has launched a scheme named Divinion Dynamic Fund.
The team running Divinion includes people who have worked in the Tata Group in the past or have long-standing links with it. Former TCS CFO S Mahalingam is one of Divinion’s directors. Its CEO is Hormuz Bulsara, who used to be COO at Tata Asset Management. Chartered accountant T P Ostwal, whose firm has worked with Tata entities for years, is also on Divinion’s board. His firm audited Divinion in FY21, and Tata Sons in FY23 and FY24. Another firm, KBJ & Associates, which audited Divinion for FY22 to FY24, also worked with some TCS subsidiaries in FY24.
The Tata Sons board also reviewed the company’s Q4 FY25 financial results at the same meeting.
Sources familiar with the matter told The Times of India that the directors looked at the report in detail and accepted its findings. The report said that while Mukhopadhyay did not make the necessary disclosures to the right authority within Tata Sons, he had not intentionally broken the rules.
Mukhopadhyay had come under scrutiny for either helping or trying to raise money from current and former Tata employees, as well as other people connected to Tata Sons. Tata Sons Chairman N Chandrasekaran had ordered the internal investigation after concerns were raised about a possible conflict of interest between Mukhopadhyay’s connection to Divinion Advisory Services and his duties within the group. “The board extensively discussed the report and ultimately gave Mukhopadhyay a clean chit,” sources told ToI.
As per the Tata code of conduct, a conflict of interest happens when an employee gains unfair benefits for themselves or family members. If such a situation is not disclosed and later found out by management, it can result in disciplinary action. In the case of listed companies, the Securities and Exchange Board of India (Sebi) can also impose penalties for failing to disclose such matters.
Some Tata executives told those writing the report that they had invested in Divinion after being approached by Mukhopadhyay’s daughter through her father, ToI had reported. They said they were not aware of his link to the firm. The full report was shared with all Tata Sons board members.
On Wednesday, the Tata Trusts board — which is the parent organisation of Tata Sons — had also discussed the report. It suggested that its nominated directors should take actions that are correct and fair.
Divinion was set up in December 2020 and manages assets worth more than Rs 90 crore. The company is owned equally by Mukhopadhyay’s wife and two daughters, each holding a 33.3% share. Divinion sponsors the Divinion Alternative India Fund (DAIF), which has launched a scheme named Divinion Dynamic Fund.
The team running Divinion includes people who have worked in the Tata Group in the past or have long-standing links with it. Former TCS CFO S Mahalingam is one of Divinion’s directors. Its CEO is Hormuz Bulsara, who used to be COO at Tata Asset Management. Chartered accountant T P Ostwal, whose firm has worked with Tata entities for years, is also on Divinion’s board. His firm audited Divinion in FY21, and Tata Sons in FY23 and FY24. Another firm, KBJ & Associates, which audited Divinion for FY22 to FY24, also worked with some TCS subsidiaries in FY24.
The Tata Sons board also reviewed the company’s Q4 FY25 financial results at the same meeting.
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