| Withdrawal of capital means that company sponsors and shareholders, after the establishment of company, violate the capital principle and regulation in the company law as well as the memorandum of association, that is, the capital can not be taken out. With various means, shareholders partly or completely withdraw the capital contribution in order to satisfy the purpose of retaining their shareholder rights without paying anything.Withdrawal of capital, on the one hand, will lead to the defects in company contribution; on the other hand, damage the interests of company and other identified shareholders. More importantly, its fraud technique and concealment nature make the company credit go wrong during the company operation, threatening company creditor interests and market transaction safety of the society. Withdrawal of capital performed by shareholders is considered to be the common cases in legal practice and disputes concerning Company Law, which results in the more and more interest conflicts between shareholders themselves, shareholders and company, along with company creditors. As to the reasons, partly because company shareholders possess no law perception, evading and disobeying laws and regulations to perform fraud activities; partly because the defects in our existing company laws and regulations with no supervision and controlling mechanism on shareholder capital contribution. The company with the interest damage and other shareholders, the company creditors together with the stake related persons can not resort the civil procedure to pay for the damaged interests.The recent passing of Company Law on 27th, Oct, 2005 has regulated the legal liability of withdrawal of capital behavior on item 201. Criminal Law defines the crime of faking and withdrawing capital on item 159. More emphasis on criminal and administrative liability and less on civil consequence make the rule on withdrawal capital at current legislation. The thesis demonstrates shareholders withdrawing... |
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