Alex is a shareholder and a director of Nohope Ltd. He has been removed as a director by the other directors because of internal conflicts at management level. The remaining directors decide that they will use Nohope Ltd’s profits to increase their director’s remuneration by 30%and not to pay any dividends to shareholders. They also arrange for Nohope Ltd to issue newshares to their children and for Nohope Ltd to guarantee repayment of the loans granted by QBank to their children to enable them to pay for the new shareshe has been validly removed as a director; he can take legal proceedings in relation to the directors’ actions regarding thecompany’s profits;the share issue to the directors’ children is valid;the guarantee by Nohope Ltd in favour of Q Bank is valid.According to Australia Corporation act and common law
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