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457 Planning for the Lu Corporation Board Meeting - part 7

Sunday.

After finally getting through screening from the prison authorities to visit Lu Jinhu, CEO Lu was highly frustrated and ready to take it our on anyone.As soon as he entered the front door he yelled out "Son."

Lu Jinhu was aware from his in-laws that his father had a reason for his impatience, the upcoming board meeting requested by new shareholders that have the minimum required shares to force the meeting.He knew that he needed to keep the situation calm, as in the mood he was in his father would snap."Father, come into my study.We can talk there?"

On entering the study, Lu Jinhu shut the door before turning to his father and asked "What have you found out?"

"Very little and that worries me.There is so much secrecy behind the companies particularly WTF International that has purchased twenty percent of the shares.Companies that possibly are related to it have purchased at least another ten percent.The shareholders of the companies are hidden.The appear to have been established overnight."

"Could it be one or more of those idiots in the family trying to position themselves and take over?"

"Son they are too dumb and impatient to attempt this.They are open and honest with their greed and ambitions despite not being from the main branch of the family.The want control of the company and money as they cannot control their spending.Where would they have the money to do this on market."

"Father, WTF in western countries can be used as an abbreviation for Whiskey Tango Foxtrot, a phonetic way to way the letters as well as What the F*ck.Are you certain it is not the family?It would be way to stick it to you."

"Absolutely sure.If I am realistic we know they are not subtle and if it means What the F*ck it is two subtle for them.I have to keep digging.But what I know there is company behind company with the companies, and time constraints give the meeting on Wednesday and that some of the companies are in other countries it may be impossible to figure out who is behind it before then."

"Someone is going to great lengths to hide the ownership."

"I just have to hope that you can figure it out before Wednesday morning."

Lu Jinhu paused and thought before continuing."Yesterday when I spoke to my father-in-law, he had no idea what was going on, and surprised about the board meeting.He will be useless for you, as he was asking me even general questions about the situation."

"He has also spoken to members of his extended family to see what they know, and they are quiet.We know the complicated situation with Yang Group.His cousin it the CEO and controls the family shares in Lu Corporation, other than the two percent that grandfather left for him to control until Yang Lin\'s fist child is born."

"Apparently his cousin was evasive in talking to him about the situation, but my father-in-law seems to view that he will speak to you before the board meeting.Whether that is the case or not who knows with that lot.I do not believe it.I finally pieced together the situation with the family just before we were sentenced to home detention."

"It all goes back to Yang Lin\'s great grandfather\'s will, and the trusts established with respect to the shares and control of Yang Group.He wanted to control everyone from the grave for as long as he could.Nominally my father-in-law owns sixty percent of the family shares and his three cousins control the remaining forty percent."

"They own those shares until they turn 65, die or their oldest child marries and has two children and then the shares nominal control shifts to the child.But that means for my father-in-law and Yang Lin they cannot have anything to do with the company, not even a board position.The others, can not only work for the company but have a position on the board and the majority of their decision controls the votes of all family shares."

"Their remuneration and the share profits actually mean they receive more money from the company annual that Yang Lin and her parents combined.Yang Lin\'s pregnancy, this is apparently twins, but I have not had this confirmed by the Doctor means her family have become aggressive in pushing for the terms of the will and share control to be re-visited, despite none of them having children and two not even married."

"However, they seem to like me, despite Yang LIn, and my reading of them is they know Lu Corporation is a sound investment so they will not jeopardise that."