Person of significant control. PSC

[Instaclean]

Last year I was diagnosed with lukeamia and told my business partner. Without my permission or knowledge he registered himself the position of PSC.
I was then effectively starved out of the business and refused any money.
When I challenged my ex partner about this he said he would shut the business down or buy me out.
Because of my financial situation I was left with no choice and for some reason unknown to me our accounts would not discuss my business with me only my partner.
I have only just found out at companies house that he had made himself the company PSC without my permission or knowledge. This was premeditated and planned to get me out of my own company which I started 8 yrs ago.
Any help or advise would help as I feel I have been cheated

[NotAllThere]

What's your shareholding in the business, or is it a LLP?

[Scruff]

Articles of Association are your first port of call, and then whether you have a separate Shareholders' Agreement. This will govern the relationship between the shareholders.

At times, Shareholders have to appoint Directors to take operational control of business when their "Partners" become ill. Unfortunately this is not always done in a moral fashion.

[Darren at Fox-Bartfield]

PSC

Last year I was diagnosed with lukeamia and told my business partner. Without my permission or knowledge he registered himself the position of PSC.
I was then effectively starved out of the business and refused any money.
When I challenged my ex partner about this he said he would shut the business down or buy me out.
Because of my financial situation I was left with no choice and for some reason unknown to me our accounts would not discuss my business with me only my partner.
I have only just found out at companies house that he had made himself the company PSC without my permission or knowledge. This was premeditated and planned to get me out of my own company which I started 8 yrs ago.
Any help or advise would help as I feel I have been cheated

To make himself a PSC he'd need to transfer shares to his name.....are you saying that he's transferred shares to his name without your knowledge? Presume you previously owned 100% of the shares prior to this?

[Maslins]

I'd suggest the key thing is the share ownership.

PSCs are often completed incorrectly from what I've seen (eg two 50:50 shareholders, only one shown as the PSC), but I wouldn't get too bogged down about that.

If you own X% of the shares, you're entitled to X% of the profits. The other party can't remove those from you without your agreement. However, there isn't generally much to stop them setting up a new company that they 100% own. Whether they can legally transfer the business from Oldco to Newco will depend on what the business really has...eg if it's just a contracting business, you can't stop them trading via a different entity.

Re the accountant, it can be awkward. Eg one party tells the accountant the other director/shareholder has moved on. Accountant has no reason to doubt that. Have you tried calling the accountant and they've said point blank they won't speak to you? I'd suggest that's very different to perhaps just they by default don't cc you in on correspondence.

Having said all this, it sounds like more of a legal question than an accounting one if anything...so don't assume my views above are correct!