Can one Director open a company Bank Account

R

Rightly dun

Guest
A company was formed in 1994 with three founding Directors. Then in 1999 one of the Directors open a Sterling bank in the name of that company and the other two Directors say they had absolutely no knowledge of the sterling account.
There are no documents lodged with the CRO from 1994 to 2002 of any change of directors in this company.
How was this account opened by only one director?
Can one director hold a board Meeting and Propose the resolution at the meeting in the form required by the bank and have the resolution adopted by himself?
I could list several more questions about this but I think the two above are the most important.
Anybody want to comment on this.
Cheers
Rightly dun.
 
The most likely situation was this was done when banks were not that particular in opening new accounts. If the director knew someone in the bank I suppose it could easily be done. The resolutions etc could easily be faked and sent into the bank.

The bank should have looked for ID from all of the directors before even considering opening a bank account for a company. Is there any way he obtained ID etc from the other directors?

Have you asked the bank for its side of the story?
 
bond-007 Thank you for your comment.

As I said this account was opened in 1999 and at that time the Company was regulated as a Financial Service company since 1997 by The Office of the Director of Consumer Affairs (ODCA) now The National Consumer Agency (NCA) and then in 2003 by the Financial Regulator (IFSRA).
In 1999 the opening of any bank account let alone one of a regulated Company came under The Criminal Justice Act 1994.
I have been asking where my bank drafts were lodge since Oct 2005 and no one will answer any of my Question. I was only told last week that the account that my drafts were lodged into was opened in 1999.
 
Time to ask the bank some probing questions.

Ask them to produce all the documents used to open the account.
 
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