Cyrus Mistry’s disclosures made
Tata Steel said the financial statements of the company present “a true and fair view” of the state of affairs after bourses sought clarification following the disclosures by Tata Sons’ ousted Chairman Cyrus P. Mistry.
“The financial statements of the company are prepared on a going concern basis and present a true and fair view of the state of affairs of the company. As part of the preparation of financial statements, the value-in-use of the assets of the company is tested for impairment as per the Accounting Standards,” Tata Steel said in a statement.
In a letter to the Tata Sons board and the group’s trustees, the 49-year-old Mistry said: “The capital employed in these companies had risen from Rs 132,000 crore to Rs 196,000 crore, due to operational losses, interest and capex. This figure is close to the networth of the group, which is at Rs 174,000 crore.”