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Question 1 Amy, Betty and Cindy incorporated their partnership business into a private company called ABC Limited (ABC) in 2015. Amy held 50% of the
Question 1 Amy, Betty and Cindy incorporated their partnership business into a private company called ABC Limited (ABC) in 2015. Amy held 50% of the shares and that Betty and Cindy held 40% and 10% respectively, and all three were directors of ABC. The understanding between Amy, Betty and Cindy was that all three of them would manage the company. After some time, Cindy noticed that Amy and Betty had bought for themselves two sports cars paid by ABC. When queried by Cindy, both Amy and Betty claimed that they needed the cars to chauffeur important clients around. Cindy also found that Amy and Betty often entertained lavishly at the company's expenses. Cindy repeatedly requested an explanation on how such spending had helped ABC's business. Amy and Betty assured her that things were fine and evaded her requests. When they could no longer evade Cindy's requests, they passed an ordinary resolution at a general meeting to remove Cindy as director. Disillusioned with what happened to her, Cindy wanted to leave the company with fair money. However, Amy and Betty did not want to buy her shares. Explain what legal action Cindy may take under the Companies Ordinance
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