Dummy Shareholder

Dummy Shareholder

A person or company that owns shares in a publicly-traded company on behalf of another person or company. That is, while the shares are in the dummy shareholder's name, another party makes all decisions related to their use. See also: Beneficial ownership.
References in periodicals archive ?
The real owner of the company had to take care of relations with these dummy shareholders and in some cases severe problems occurred, such as that the person who held the shares of the company wanted to take advantage of the shareholder position to generate some more money.