Tata Sons can’t escape RBI’s public funds net

RBI’s clarification on indirect public funds may compel Tata Sons to remain in the upper layer of NBFCs, necessitating a public listing. Despite efforts to stay private, equity investments from group companies and pressure from the Shapoorji Pallonji Group complicate Tata Sons’ position. According to Pratish Kumar, partner at JSA Advocates & Solicitors, RBI has not upfront exempted equity investment from group companies from the meaning of access to ‘indirect public funds’.  Read more