shares transferred without directors knowledge

by **question.man** on Mon Nov 07, 2011 5:41 pm

Hi all

as the title suggests... a client had a 28% share in a property company with one other director who had 72%

the company ran into some trouble owing a large sum of money to suppliers & hmrc and our client has just discovered that in May last year 100% of the shares had been transferred to him and the company address changed to his home address, again completely without his knowledge!

i should add that we had no idea he had got involved with any of this but thats clients for you...

can anyone shed some light on where to begin with any of this? the annual return and change of address were done electronically so no signatures or any handwriting was involved

thanks in advance

by **pawncob** on Mon Nov 07, 2011 6:56 pm

Who signed the share transfer? If the client didn't sign it, somebody forged his signature. Start by informing Companies House, then the police. (they won't be interested, but it covers your back)

by **question.man** on Tue Nov 08, 2011 10:10 am

thanks for the response pawncob. companies house were informed of the share transfer through the annual return which was done online so no signature unfortunately.

reporting it to the police was on my mind as well though I did get the feeling that they wouldnt be hugely interested

thanks

by **question.man** on Tue Nov 08, 2011 10:15 am

thanks for the response pawncob. companies house were informed of the share transfer through the annual return which was done online so no signature unfortunately.

reporting it to the police was on my mind as well though I did get the feeling that they wouldnt be hugely interested

thanks

by **towat** on Tue Nov 08, 2011 10:49 am

Well the transferee doesn't sign the STF anyway, interesting one, has a crime been committed if someone has been given something without their knowledge? also what is the significance of shareholdings in an insolvency, surely the directors are liable for any wrongdoing?

by **question.man** on Tue Nov 08, 2011 11:50 am

@towat - has a crime been committed if done without the persons knowledge - good point and one ive never come across before. i think the intention of the other director was to offload the blame on himself as he seen what was happening to the company, in a misguided ill informed way, thought transferring the shares absolved him of blame from that point on. the director left with it all is consulting a business lawyer today.

I'll let you all know the outcome for future ref!