UHY Hacker Young completes 35 year insolvency

One of the longest running insolvencies in the UK has been completed after an eye-watering 35 years.

Liquidators from UHY Hacker Young have completed dealings on Apal, a tour operator that ironically went bust during the last banking crisis in 1974 after the Israel-British bank collapsed.

Last month the firm paid the last of seven dividends to more than 500 creditors, including holidaymakers, airlines and hotels. The first dividend was paid out in the 1970s

Creditors received 74p in the pound.

The delay in payments was due to complex loans to third parties and irregularities discovered at the collapsed bank, resulting in lengthy legal actions and criminal proceedings outside the UK.

"This insolvency shows that when a bank fails with significant assets overseas and there are irregularities the process of getting the creditors’ money back can be complex and lengthy," said Ladislav Hornan, managing partner of UHY Hacker Young and sole surviving liquidator.

"When you think of the greater complexity of the modern banking system, creditors could be much worse off if a similar situation happened today. 35 years is a long time to wait for your money.

"It is a relief to finally close the book on this case. It’s particularly satisfying that the creditors got back three quarters of the money they originally lost, which is a very good result for an insolvency despite the passage of time."

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