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Settlement for conflict between shareholders

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asked on Sep 15, 2017 at 17:10
by   goodboy123
I am a shareholder of a company and I want to exit the company. Previously we have made an agreement on how the money that due to me in the company (about 150K) will return to me. But 2 years passed, not a single cent of money being returned. For this 2 years we have been keep arguing every time when I ask about the money. From what I see, they have no plan to do it and it is almost impossible for us to get good settlement internally.

So, how can I get the problem solved? I am thinking of looking for professional 3rd party to help. But whom can I look for? Just any lawyer can do? Is the fee usually expensive?
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answered on Sep 16, 2017 at 16:32
by   jeff005
edited Sep 16, 2017 at 16:37
by   jeff005
Unless all shareholders and all directors agree to shutdown the business, it cannot be shutdown easily. 
Plus liquidation of ALL assets and clearing of all Creditors (incl staff wages, EPF, Socso, Company taxes, personal taxes). This may take 2 years to complete plus massive legal fees. You may get nothing back at the very end.

Using minority shareholders moneys via loans or advances and then not repaying is not right either.
This bullying can carry on forever, while the parent company will window dress the audited accs legally (and not making moneys) but the associate company can make tons of moneys.
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answered on Sep 16, 2017 at 22:42
by   goodboy123
Seems shutdown company isn't the option unless they willing to do so. Then, just forget about it.

The company owns 70% share of a sister company
Via company or individual name?

Via company.

Whom can I look for professional 3rd party as middle man to host negotiation to get things settle? Just any lawyer can do?
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answered on Sep 17, 2017 at 00:12
by   Terminator
Whom can I look for professional 3rd party 
How much are you willing to pay?
How much arms arsenal do you have? 200 missiles in stock?
These types of shareholder issues can only settle in court.
So go get a Lawyer.. 
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answered on Sep 17, 2017 at 02:42
by   vkpc
Whom can I look for professional 3rd party as middle man to host negotiation to get things settle?
Most likely the other shareholders and directors won't even want to talk to your middle man.
You have no power to force anybody to negotiate.

The only way is to do a Winding Up Petition at Court but it will cost more than RM 100k.
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answered on Sep 17, 2017 at 20:07
by   goodboy123
If that's the case, if I just exit the company without the money being settled, if the debt remains there, is that mean they cannot shutdown the company in the future? Unless they clear the money due to me?
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answered on Sep 18, 2017 at 02:09
by   vkpc
If that's the case, if I just exit the company without the money being settled, if the debt remains there, is that mean they cannot shutdown the company in the future? Unless they clear the money due to me?

Wrong.
Any debt that is not claimed in Court for more than 6 years cannot be claimed anymore.
This is the law of Limitation.
After 6 years ( from the date you first asked for payment ) the debt can be written off.
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answered on Sep 18, 2017 at 02:49
by   Chester2014
Khakhakha

Even the shareholdings you have will be vanquished via expenses write offs. If in any unfortunate business failure (for other personal businesses), the other shareholders/cum/Directors runs away to another country leaving you behind, your more than 5% (if any) Directorship can warrant you fines from SSM. EPF, Tax, Socso, sometimes over than 50K bankruptcy limit (just because you are the traceable one left).

You ask questions but not reply in full, why ask some more?
Still wet behind the ears?
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