Stop company activities or remove director from board of director
uwehosting
(Querist) 14 December 2012
This query is : Resolved
Sir,
We have a registered Pvt. Ltd. company. We are 4 directors, i am founder and main signatory director (Director 1). Between Other 3 directors one director (Director 3) my wife. Rest 2 director Director 2 and his wife Director 4.
Director 2 and 4 do business without inform me. Collect money from customers and deposit it to his/her personal bank account. After that customer clam, then Director 2 and Director 4 are not submit money to company.
They process business personally without any meeting resolution.
Now i want to stop company or remove that 2 director from board of directors.
Kindly help me, what is the process ?
Can i apply VETO ?
S. Roy
R.K Nanda
(Expert) 14 December 2012
first send a legal notice to those 2 directors and terminate them for doing illegal business activities.
Raj Kumar Makkad
(Expert) 14 December 2012
Go to High court for immediate winding up of such company and meanwhile file criminal complaint of fraud and misappropriation of funds by those directors before police authorities.
R.V.RAO
(Expert) 25 February 2014
being pvt.ltd.co.,it is easy to remove the 2 trouble creator-directors.
majority share holders can remove directors.
procedure:
induct 2 or 3 more new directors on your side and who are interested to support you.
transfer some shares/allot more shares to them.
now you 4 or 5 directors being majority share holders can remove the 2 trouble makers, by calling for an extraordinary /annual general meeting , because the combined shareholding of 4 or 5 of you (yourself,your spouse,2/3 new directors) is more than those 2 directors (who i assume are also shareholders).
what do you mean by veto. not clear.
court route is delayed and costly.
meanwhile cautiously you and your spouse (being directors)advise, all your existing and new customers ,to pay only by cheques /drafts made in the name of the co. only or directly deposit sums of money if it is cash in co. bank account, not to individually pay any body in cash/bearer cheques.say this is the new corporate policy adopted by your company in new year as advised by auditors/lawyers.
