Management co listed for strike off by the cro.

J

JohnJay

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I live in a development which has been listed for strike off by the cro.

This means I can not now sell my property which has recently gone sale-agreed. The management agent says the problem is due to a row between the 2 directors of the management co (who were also the directors of the original developer). One of the directors is refusing to sign off on the accounts, so the cro now has them listed for strike off.

I have contacted the CRO (still waiting for a reply). I also contacted the director of corporate enforcement who told me to lodge a complaint against the company and the directors, but this complaint could take 4 months to go through the system. I dont have 4 months!

Anyone got any ideas? Can the non-signing director be somehow struck-off the company?

As a side note - If you are unlucky enough to be in a development which has a management company, I would strongly advise you to keep an eye on the status of the management company on the cro website (www.cro.ie).

The management agent and the 2 directors mentioned above are also involved in other developements around Dublin, so our Mgt Co is probably not the only one affected by this row. The management agent were also very slow to act on this - we only found out by accident that all this was going on
 
Re: Management co listed for strke off

Being listed for strike off is a very serious matter. This has happened because the company has failed to file one or more years annual returns.

Your best hope is to get a EGM called and simply remove the director and appoint someone else. Only then can the matter be finally resolved.
 
Re: Management co listed for strke off

I know its a serious matter.

I dont think we can call an EGM without the consent of the directors, is this true?
 
Re: Management co listed for strke off

You don't need the consent of the directors.
 
Re: Management co listed for strke off

so how do you go about calling an EGM? do you have to have the majority of the shareholders to ask for it? Does this vary from company to company?
 
Re: Management co listed for strke off

JohnJay said:
... I also contacted the director of corporate enforcement who told me to lodge a complaint against the company and the directors ...
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I find this odd. The DOCE is advising that you to lodge a complaint against yourself (presumably as a property owner in the development you are automatically a member of the company).
JohnJay said:
... I dont think we can call an EGM without the consent of the directors, is this true?
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It is your responsibility to know. Consult the Memorandum and Articles of Association of your company and find out what number (or percentage) of the members are needed to call an EGM and what notice period is required to be served on the members / directors. Do you have a designated Company Secretary?
 
Re: Management co listed for strke off

Thanks for your replies. I have no knowledge of company law. I have contacted my solicitor, and she also admits that company law is not her thing, but she is looking in to it for me. I guess I need to get a copy of the Memorandum and Articles of Association and start there.
Unfortunately the residents committee here are not very stong, and we have no structured way to fight this. They have called a residents committee meeting for 2 weeks time, but I think we need to be acting faster than this
 
Re: Management co listed for strke off

I guess I need to get a copy of the Memorandum and Articles of Association and start there.
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The CRO will sell it to you for €2.50
 
Re: Management co listed for strke off

bond-007 said:
The CRO will sell it to you for €2.50
Click to expand...

I'm working on that now.

I also need someone to translate this in to joe-soap-English, should I start with my solicitor, or find someone who knows more about this sort of thing?
 
Re: Management co listed for strke off

The top of the Memorandum and Articles of Association will tell you what type of company it is.
 
Re: Management co listed for strke off

Thanks, I have ordered these now. I think the director who wont sign has skipped the country, does that mean our company now has "insufficent directors remaining in the State" and the members can now call an EGM?
 
Re: Management co listed for strke off

Happy days. I might get my solicitor to poke this further. I got that doc from the CRO, trying to translate it now. The company is a "Company limited by guarantee and not having a Share Capital"
 
Re: Management co listed for strke off

JohnJay said:
Happy days. I might get my solicitor to poke this further. I got that doc from the CRO, trying to translate it now. The company is a "Company limited by guarantee and not having a Share Capital"
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This would mean that there must be at least 7 members of the company (apart from the directors and secretary) who are more than likely apartment owners
 
Re: Management co listed for strke off

JohnJay said:
... Unfortunately the residents committee here are not very stong, and we have no structured way to fight this. They have called a residents committee meeting for 2 weeks time, ...
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I suggest you forget about the residents' committee. They are unlikely to be of any use whatsoever in the difficult situation you find yourself in. Any idea what the ratio is of owner-occupiers to renters?
 
Re: Management co listed for strke off

JohnJay said:
One of the directors is refusing to sign off on the accounts, so the cro now has them listed for strike off.
Click to expand...

Might be more than a simple argument between the two directors here. One may be refusing to sign because the accounts are not accurate.
 
Re: Management co listed for strke off

I wonder does the company have the money on hand to pay all the CRO fees and penalties?

How many years accounts are outstanding?
 
Re: Management co listed for strke off

The last accounts were filed in March 08. Am I right in saying the max fees for not lodging accounts is 1200 euro? Apparently the out-of-the-country director still has an address here, and visits from time to time (only just found that out)

I think we have a fair lot of renters, might be hard to get more than 50% of votes
 
Re: Management co listed for strke off

Would the owners of the rented houses approve of the company being struck off?
 
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