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Hi There, a long read but any good advice warmly received,
I am a voluntary director of a limited company along with another director, there are approximately 175 single share, share holders, each of the shares issued valued at £1 each. A large buidling company set up this company, along with two other limited companies. Each company was deposited into its company account £25000. The building company owned a substantial plot of land, broke the land up into 3 blocks, allocating a company to each large area. Houses were built onto the first block, approx 175 houses, a share was issued to each of the purchasors of each house and told they were responsible for the surrounding woodland that the local authority would not adopt.
The area around the properties is surrounded by now very mature woodland/trees , many properties are surrounded by trees, but not all. The building company wanted no responsibility for the woodland and tree's that the local authority would not adopt, and therefore found this a good way to off load this reponsibility of the woodland.
Upon the sale of a house to a subsequent purchasor, the share was carried over. We have found in most cases the conveyancer did not inform the purchasor of the share transfer to themselves. No monies , except until recently has been received from the shareholders to the companies. Monies are now exhausted and maintenance charges for the woodland which now contains some very large trees. A single very large ancient tree has recently collapsed and the cost to remove was £3600. This has almost wiped out the remaining account monies. More trees require severe maintenance.
We have asked the residents for funding with some strong pushback, many saying they had no knowledge of their shareholding, and possible liabilities.
The company directors have had a survey completed some 4 years ago which highlighted work that was / is neccessary immediately and to plan. Insurance is in place for any damage but we believe the insurance will only be valid if maintenance work is carried out a per the survey schedule. The funds are almost exhausted. Some trees need immediate maintenance. We have no wish to leave any in a dangerous condition !!
The other two companies have fared the same , one filing for insolvency, who's trees are also now in very poor condition, the other operating on a trickle of funding.
I am a voluntary director of a limited company along with another director, there are approximately 175 single share, share holders, each of the shares issued valued at £1 each. A large buidling company set up this company, along with two other limited companies. Each company was deposited into its company account £25000. The building company owned a substantial plot of land, broke the land up into 3 blocks, allocating a company to each large area. Houses were built onto the first block, approx 175 houses, a share was issued to each of the purchasors of each house and told they were responsible for the surrounding woodland that the local authority would not adopt.
The area around the properties is surrounded by now very mature woodland/trees , many properties are surrounded by trees, but not all. The building company wanted no responsibility for the woodland and tree's that the local authority would not adopt, and therefore found this a good way to off load this reponsibility of the woodland.
Upon the sale of a house to a subsequent purchasor, the share was carried over. We have found in most cases the conveyancer did not inform the purchasor of the share transfer to themselves. No monies , except until recently has been received from the shareholders to the companies. Monies are now exhausted and maintenance charges for the woodland which now contains some very large trees. A single very large ancient tree has recently collapsed and the cost to remove was £3600. This has almost wiped out the remaining account monies. More trees require severe maintenance.
We have asked the residents for funding with some strong pushback, many saying they had no knowledge of their shareholding, and possible liabilities.
The company directors have had a survey completed some 4 years ago which highlighted work that was / is neccessary immediately and to plan. Insurance is in place for any damage but we believe the insurance will only be valid if maintenance work is carried out a per the survey schedule. The funds are almost exhausted. Some trees need immediate maintenance. We have no wish to leave any in a dangerous condition !!
The other two companies have fared the same , one filing for insolvency, who's trees are also now in very poor condition, the other operating on a trickle of funding.
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