Shares in Private Company

Discussion in 'Investments' started by paddytt, 30 Aug 2010.

  1. paddytt

    paddytt Frequent Poster

    Posts:
    23
    Hello

    many years ago, my late uncle invested in a private company through a Business Expansion Scheme.

    Up until his death two years ago, he received little or no communication from them, no dividends, no annual reports, no information about AGM's, and since his death we have struggled to get the share cert transferred or even to get a response to a letter.

    Does anyone have any suggestions how to proceed? My preference would be to sell the shares. I was planning an advert in the regional press, on the basis that an employee or local businessperson may be interested...?

    regards

    paddy
     
  2. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    37,226
    If it was a BES, then there should be other investors as well.

    Check the company's record in the Companies Registration Office. There should be a list of shareholders. Write to them to see if they are experiencing the same problems you have.

    If the CRO record is not up to date, make a complaint to the Director of Corporate Enforcement.

    Most BESs had promoters - stockbrokers or firms of accountants. Contact the promoter to explain your problem.

    Send a registered letter to the Company Secretary (again available from the CRO) and ask for the share certificates.

    It's very unlikely that you will be allowed to sell them.
     
  3. T McGibney

    T McGibney Frequent Poster

    Posts:
    3,555
    ...and unfortunately, on the law of averages, it's also very unlikely that they are worth anything.