My business partner is cheating me . .
By NatureBoy
@NatureBoy (493)
Singapore
February 22, 2007 10:22pm CST
I have started a trading business with a partner about a year ago. I have been a silent partner, as I have my own job commitment and would only be acting as a consultant for the business.
Recently, he showed me the financial statements of the company stating the the company is in red, and said to protect my interest I should quit the company first. So I resigned as director sucked my thumb at the losses I incurred on my investment.
Later with some probing, I discovered that the company was actually making money, and that he had shown me was unreal. I am aware that I'm still a shareholder of the company, but seems like that doesn't seem to enable me to pursue any actions. What should I do?
1 person likes this
4 responses
@HolyMosesMalone (415)
• United States
23 Feb 07
there is clearly legal action that can be taken here, there are two issues really, there is the fraud issue and also the "theft by unlawful taking" action that can be noted. If he did what you say he did then there is definately something you can do, not only to get your money back, but also to send him to jail. He has committed serious corporate fraud here.
1 person likes this
@NatureBoy (493)
• Singapore
23 Feb 07
Something I can do . . like what. . at present, I'm quite angry with this partner. Thanks moses for replying. At least there's some one who cares. :)
@fxfriski (209)
• Singapore
1 Mar 07
Wow... I was cheated by my business partner too. Although I got out of it in one piece. Complications still haunt me until today. (7 years thingy.. hint hint...)
If he is going to lie to you on this, I seriously think you should call in an auditor and if you can take legal action against him before someone goes wrong and both get blamed for it.
As a shareholder, you cannot do anything about the operations of the company. Doesn't mean you cannot take any action. Go check with the lawyers and the auditors, I remember I was given some sort of legal action options. Didn't do it because he was a close friend, I really regret my action
Good luck, it's better to lose money now, than the possibility of losing your freedom later ;)
@NatureBoy (493)
• Singapore
5 Mar 07
Yap. I think that way too, so I'm already leaving the case to the authorities by filing a report.
@sreejithsreenivas (10200)
• India
27 Feb 07
I think this a good lesson for you.Dont believe blindly others.You can take legal action against your partner,if there is proper agreements and document is signed between you and your partner.
@NatureBoy (493)
• Singapore
28 Feb 07
I believe so too. Expensive lesson, but its sad that friends will cheat on friends.
@kingparker (9673)
• United States
1 Mar 11
Maybe I read your discussion 5 years late,but I felt for you though. I recently encounter the same situation. Scammed by my business partner who I thought can be my friend. Actually, he is not. I was indebted with this business credit card over $5,000 because he used my identity to apply for this card, and he never pay for it. He will get his own karma. Actually, you can consult with some lawyers to see what you can do about it. By the way, your business partner will get his own karma as well.
