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Problem:

Koosoomba, the founder and Chairman of the Binder Co. Ltd, is 67 years old. He has newly married his secretary who is expecting twins. Koosoomba already has 8 children (from his first two marriages) and 17 grandchildren. Bongo, Koosoomba’s older son, was the managing director of the failed company which was removed from the register of companies. His sister Carol, a compulsive shopper, has been convicted for credit card fraud. Koosoomba wants to incorporate the private company limited by shares under the name “Noumem” and transfer all the shares he holds in Binder Co. Ltd to the new company. He wants to issue 50 shares of “Noumem” to his wife and each of his children as well as 10 (ten) shares to each of his grandchildren.

Required:

problem 1: Describe and discuss the procedure for the incorporation of “Noumem” as a private company.

problem 2: Koosoomba wants to make sure that as long as he lives, he will appoint the directors of Binder Co. Ltd and “Noumem”.  He wants to appoint his five (5) sons as directors of “Noumem”.

Counsel Koosoomba.

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