A friend of mine for a number of years has been refused access to the books of a company in which he is a director. He is also a minor shareholder of this company. (He is easy going and continued to work and own the Business despite not being allowed to view the books by the larger shareholder) Recently, he discovered some employees who work for a separate company which is owned by the second director are actually paid by my friend's company. Is this fraud? While my friend's company pay the wages, these people do not work for his company and there is no invoicing between companies to account for this. The second director controls access to the books and creates shareholder loans for himself as he pleases, lots of things about their Bussiness just doesn't sound right, the problem is my friend has been so trusting hoping things are OK ? Any thoughts ?