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Director Resignation Ignored

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asked on Mar 26, 2015 at 00:38
by   JPMY2015
I've been doing a favour of providing my name as director for a company that I have not been active in for about 4 years or more. It was supposed to be short term only.

Although not agreed I receive no salary and have no say in any company decision in any way.

The CoSec notes that there are 4 directors so I ought to be able to resign without issue. The CoSec has arranged the papers and asked me to send in, I am not in Malaysia, my resignation letter without a date. They also ask that I contact the other board members to obtain their signatures. If my emails are ignored this will not succeed.

The owner refuses to acknowledge my request and I am concerned of ongoing liability without and say in matters.

what to do?
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4 Answers

answered on Mar 26, 2015 at 03:43
by   jeff005
1/3 of directors should resign every year by rotation and opt to be re-elected or choose "rest" for the year. The option not to be re-elected must be expressed and written to the CoSec before any AGM. So, everyone can choose rest for the one year and if you have less than 5% of the Paidup Capital, you need not seek re-election at the subsequent years.

Very simple, just do not sign any of the papers given to you regarding being re-elected as a director and you are FREE..!! CoSec is hiding something if you have been re-elected to be director without your consent. If your shareholding is more than 5%, then by Company Law/Act you have to be automaticall re-elected if the two others also choose not be re-elected (by rotation one-third) the following years. It is just a game for directorship in some companies.

Forcing one to be a director is common for companies dealing with business with high elements of risks to run foul with the law, for e.g. in supplying legal and illegal workers for construction, cleaning, maid services, security services and plantation workers.
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answered on Apr 26, 2015 at 14:05
by   JTPMY2015
In the event that I never receive a reply to my request then what can I do please?

I have 0% ownership in the company and 0 salary and 0 contribution to decisions. I have been asking for a few months to be released as Director.

I send in my resignation letter this time with a date?
Then when AGM comes I will be asked to sign. If I refuse to sign then there will be penalties that will apply to all Directors yes?
What legal trouble can I have if I refuse to sign?
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answered on Apr 26, 2015 at 16:25
by   Jeff05
I have 0% ownership in the company and 0 salary and 0 contribution to decisions
What legal trouble can I have if I refuse to sign?


What legal trouble?.. NIL.. you hv no locus sandi in that company except maybe as a kambing hitam to show ppl..

I send in my resignation letter this time with a date?
To show your determination, use a legal firm to write a letter of resignation. Costs maybe RM50. I can write for you for RM20.. but no threat to them.. just end up in waste paper basket or the shredding machine.

Then when AGM comes I will be asked to sign. If I refuse to sign then there will be penalties that will apply to all Directors yes?
For small co, all these AGMs meeting is nothing but a show but no show. Real AGM for coporate companies is complete with video recordings in the presence of CoSec, CoLawyers and ALL DIRECTORS..!! If you are not present.. cannot be appointed. NO signature on AGM minutes of meeting, how to file to ROC??.., how get penalties on all directors.

It appears that you have been deliberately given misleading infos.. Check with yr CoSec.. and or other CoSec. There are too much to write under here and probably you may not comprehand..
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answered on Apr 26, 2015 at 16:31
by   jeff005
No locus standi to make decisions in the company.. Appointed kampung itek shj...
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