Tata Trusts to receive a massive Rs 267 Crore...
Tata Trusts, one of India's oldest philanthropic institutions, will reportedly earn Rs 267 crore as dividend income from Tata Sons in the financial year 2021-22. About 66 per cent of the equity capital of the Tata Group is held by Tata Trusts owned by the Tata family. The trust is headed by one of India's biggest industrialists and philanthropists ratan tata since 1993. Tata Sons have declared a dividend of Rs 10,000 per share at the rate of 1,000 per cent. It is an unlisted holding company of Tata Group companies.
After approval, there will be a total outflow of Rs 404 crore as Tata Son's dividend for the financial year 2022. According to a business Standard report, the family will earn Rs 75 crore as dividend income on their 18.5 per cent stake in the company. Dividend from Tata Sons is the main source of income for Tata Trusts, which will use the proceeds for health care, environment, education and skill development. Earlier, Tata Sons had also promised Rs 1,000 crore to deal with Covid in 2020-21.
The details of compensation, benefits etc. paid to the directors have been given in the Annual Report for the financial year ended march 2022. For the FY 2022, Tata Sons declared a huge net profit of Rs 17,171 crore on a standalone basis on total revenue of Rs 24,132 crore.
Ajay Piramal, chairman of Piramal Group, earned a commission of Rs 2.25 crore in FY21, while bhaskar Bhat, former managing director of Titan Company, earned a similar amount as commission on profits. venu Srinivasan, the vice-chairman of Tata Trusts, did not receive any payment from Tata Sons - he recused himself from receiving compensation from the company.
Independent director Harish Mavani received a commission on the profit of Rs 2.6 crore, while non-executive director Ralph Speth took home a commission of the same amount. Also, unlike previous years, when Tata Teleservices closed the cash flows of Tata Sons, FY 2022 was much better, as noted in the report.
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