right and protection of interest of the minority shareholders

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Abstract

This paper examines "Rights and Protection of the Interest of the Minority Shareholders" I will discuss the recent development, issues and legal practices in the subject in Bangladesh perspective as well as international. Rights of Minority Shareholder and protection of their rights is now talked topics as new problems are emerging regarding the issues. A few initiatives have taken by national level and problems are gradually increasing, therefore some recommendation has been prescribed in the paper.

1.Introduction:
There are various problems founds in Bangladesh in order to enforcing the rights and interests of minority shareholders. Minority shareholder are oppressed and neglected due to the system of controlling trend by the family members who owned the company and controls the company. Therefore rights of those minority shareholders become unprotected. Thus a gradual attention is growing up and more importance and emphasizes has to be given to protects the rights of the minority shareholders.

2.Defining Minority shareholder Minority shareholder is a shareholder who owns less than 50 percent of the total shares of a corporation’s stock. A minority shareholder does not have the voting control of the corporation; neither can s/he single-handedly elect the directors of the corporation. They even don’t have any real say in the running of the company or corporation
A shareholder who holds a significant amount of stock in a company but still has less than 51% is a minority shareholder. While technically even a person who owns one share is a minority shareholder, the term most frequently applies to persons and companies with large stakes.1 The corporate shareholders that do not have a controlling interest in the company are known as “minority shareholders.” 2Minority rights are of course typical to common shares, but other types of corporate securities may need protection against a majority power.
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