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In 2003, Partaab Singh and Tanveer decided to start a new business to manufacture noncarbonated soft drinks.?

In 2003, Partaab Singh and Tanveer decided to start a new business to manufacture noncarbonated soft drinks. They believed that their location in Lahore, close to high quality water, gave them a competitive edge. Although Partaab Singh and Tanveer never worked together, Partaab Singh had 10 years of experience in the soft drink industry. Tanveer had recently sold his own firm and had funds to help finance the venture, however, the partners needed to raise additional money from out side investors. Both men were excited about the opportunity and spent almost 18 months developing their business plan. With the help of a well developed plan, the two men were successful in raising the necessary capital to begin their business. They leased facilities and got underway. However, after almost two years, the plan’s goals were not being met. There were cost overturns, and profits were not nearly up to expectations. Questions for analysis: Although several problems were encountered in implementing the business plan, the primary reason for low profits was embezzlement. Partaab Singh was diverting company resources for personal use, even taking some of the construction material purchased by the company and using it to build his own house. a. What could Tanveer have done to avoid this situation? b. What are his options after the fact? Requirement: • The answers of such questions should be concise and relevant to the above mentioned scenario. Kindly avoid unnecessary explanations; every question carry equal marks.

Public Comments

1. should not have entered into venture hire a good attorney to undue the mess