Removal of Cyrus Mistry was Absolutely Necessary for Future Success of Tata Group: Ratan Tata to Employees

The letter came shortly after Mistry ratcheted up war of words by rebutting "insinuations" of mishandling a dispute with Japan's NTT DoCoMo, saying Ratan Tata was party to all decisions regarding the telecom venture.

Earlier in the day, Mistry's office issued a statement saying all decisions on the telecom joint venture with DoCoMo and the following dispute were taken with unanimous approval of Board of Tata Sons as well as family patriarch Ratan Tata.

"Insinuations that the DoCoMo issue was handled under the watch of Mistry in a manner inconsistent with Tata culture and values are baseless. The suggestion that Ratan Tata and the trustees would not have approved of the manner in which the litigation was conducted is contrary to what transpired," the statement said.

Tata in his second letter to employees after the October 24 sacking of Mistry, said the Group companies should focus on their profit margins and their market position and not compare themselves to their own past.

"The focus has to be on 'leading' rather than 'following'," he wrote.