coerced directorship

This is a form of financial abuse in which a domestic partner is bullied or conned into becoming a director in the company of the perpetrator who then proceeds to strip the company of profits while loading it with debt. Finally the abusing partner resigns their directorship and disappears entirely as far as creditors are concerned leaving the coerced director with the burden of debt.  Sometimes this whole revenge scenario can be set up fraudulently so that the partner has no idea that they are being saddled with debt

Ways of outlawing this practice are being considered, with the first step being to make it harder for directors to be appointed without clear consent.

Sue ButlerComment