As a former co-founder, shareholder and officer (not invovled in any financial, operational activities or other decision making criteria as directed by Chairman/CEO) of a company incorporated in Texas March 2004; the miniority shareholders have agreed to file and serve a grievance with the state judge to force the company into receviership. The key reasons, fraudenlent financial transactions, deceptive shareholder practices, issuing worthless payroll and expense checks, knowing the money was not in the bank, signing a Letter of Intent to sell the company to a company that does not come close to another company that had bonified LOI and termsheet on the table and a flagrant disregard exercising fiduciary responsibilies for his shareholders, employees, vendors and customer. If the shareholders win, several companies have advised they would still be interested in restructuring their LOI's to get the company back on its feet. Just recently I was laid off as an employee by the chairman (with no acknowedgement of my officer status). Others will follow (per the Chairman's promise) when the suspect company agrees to a purchase agreement. The chairman signed the suspect LOI. I am not sure what my liability might be as token officer over the last 8 years should the vendors and/or customer decide to file separate or class action suit. Has anyone been in this position? Apogies for the long winded detail..
Your thoughts would be appreciated.
