The liquidator of Sir Allen Stanford’s bank in Antigua will face a further battle to keep its UK assets from being seized to pay off creditors across the rest of his collapsed business empire in the US.
The British liquidator of the Stanford International Bank, Nigel Hamilton-Smith, won a critical High Court battle two weeks ago halting efforts by a US liquidator to take control of $100m (£61m) in assets in the UK.
Hamilton-Smith, of Vantis Business Recovery Services, told Accountancy Age that it was crucial that assets of SIB in the UK should be used for creditors of the bank and not moved to the US to settle the claims of creditors of numerous companies Stanford controlled there.
‘It’s important the assets of SIB are returned to Antigua to be distributed to creditors of SIB and not lost in the Stanford business empire,’ he said.
The bank collapsed with debts of $7.2bn. UK assets of the bank are said to include $5m in cash with the balance being made up of shares and investments.
However, the US liquidator, Ralph Janvey, has been given leave to appeal the High Court ruling, which Hamilton-Smith expects to take place in the autumn. He has agreed to withhold proceeds from the assets until the appeal has been concluded. Hamilton-Smith estimates he and joint liquidator Peter Wastell will realise between $500m and $1bn for SIB creditors.
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