Good morning. You have all the leverage here. He violated his fiduciary duty by usurping corporate opportunity, by using corporate funds for his own personal uses, and by otherwise embezzling money. You have both criminal and civil recourse. You shoudl tell him that he can either agree to the surrender his ownership to you on such terms as you request or you will: i) file a civil suit against him to recoup all the damages his actions have caused, including punitive damages for fraud; and ii) contact the district attorney's office to pursue criminal charges for fraud, embezzlement, and theft. Your civil suit will result in a judgment award that if he cannot pay, you can then lien his stock in the company and take in partial satisfaction of the judgment. Given his downside certainty, I feel certain he will agree with your terms without you having to follow through, but if not, pursue your actions against him.
I hope this has given you the guidance you were seeking. I wish you the best of luck!
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