Thoughts

[labrat]

Just asking for thoughts on this

 

I know of a local limited company the average turn over is about 20k - 30k (but a 50k loss this year)

 

We know the owners personally and for a while now we have had suspicions that for a while now they have been using the business account to pay for their personal life we have images on Facebook of multiple expensive purchases including cars, holiday houses, jewelry etc

 

This year the business accounts seem to back this up, the directors account for the Year state that the directors account loans due has gone up to 200k due within 12 months this is about 150k rise

 

Is there any way to report this? Is it worth it, or should we sit back and just hope they didn't notice if there is personal liability on the Ltd company accounts

[honeybee13]

Why do you want to report them, labrat?

[labrat]

Short answer I don't like the idea of someone running a company to leach off it like this

 

Long story that money has to come from somewhere and if they do keep getting away with it then they will simply open another company do it again and end up costing the rest of us

[honeybee13]

I don't like dishonest people either, but would there be any comeback on you if this couple thought you'd reported them?

 

Could there be other reasons that they have expensive holidays like savings, inheritance or family gifts for example?

[labrat]

I know from their mother that she has also had thoughts in the same direction and has also already told them not to expect a bail out

 

Honest answer would they suspect, probably - am I worried probably not

 

We've toyed back and forth about if we need to for a while but our thought has been nothing will be done anyway so why bother

 

Their not close so we can simply ignore it, their failure would have no (direct) impact on us but at the same time as distant family we just don't want to be associated with what may be possibly suspicious

[ericsbrother]

this isnt somehting for you to be involved in as it is down to Companies House to invigilate.

Now we all pay for it when the ltdco goes bust and they wander off to form another company and do it all over again. The banks should install a stupidity algorithm in their lending programs but you wont get tarred with their brush unless they purposely make untrue statements that implicate you and them it becomes a criminal matter.