Business & company › Shareholder & director disputes

Not being shown company accounts

What usually matters in this situation, and the papers to keep ready before you meet an advocate or free legal aid (call 15100).

Your situation

• What has happened? Denied access to accounts or records

Do these now

• MCA filings: director appointments/resignations, allotments, charges, annual returns
  Shows unauthorised changes and their dates. Where: MCA portal (view public documents).

Papers to gather

• Memorandum and Articles of Association (current version)
  Sets transfer, appointment and meeting rules. Where: MCA portal (public documents).
• Share certificates, register of members extract, cap table, allotment filings
  Proves your stake and any dilution. Where: Company, MCA filings (allotment returns).
• Financial statements, bank statements and related-party transactions you can lawfully access
  Supports mismanagement claims. Where: Annual filings on MCA, company records.
• Your written requests for records/meetings and the replies
  Shows exclusion from management. Where: Email.
• Founder messages and emails about roles, equity and exits
  Fills gaps where nothing was signed. Where: Email, Slack, WhatsApp.

You may also need, depending on your answers

• Shareholders' / founders' agreement and term sheets — Often decides exit, vesting and deadlock.

What the law says

Saboot will also ask

• What is your position?
• What percentage of the shares do you hold?
• Is there a shareholders' or founders' agreement?

Similar situations

• Removed as a director from my own company
• My shareholding diluted without my consent
• Co-founder taking company money
• Want to exit the company and get fair value
• Board deadlock between founders

Sources

• Companies Act, 2013

The full guide: Dispute with co-founders, shareholders or directors of my company · All situations