KPMG ADMINISTRATORS still need to retrieve nearly 20% of customer funds at collapsed investment bank MF Global.
According to a report outlining their proposals the administrators said they have managed to salvage £594m representing 82% of segregated funds, with an estimated £200m yet to collect.
Richard Fleming, Richard Heis and Mike Pink, partners at KPMG, were appointed the UK’s first joint special administrators – a regime which has different objectives to a normal insolvency.
Of the outstanding amount to collect about $76m (£49m) is protected under the Financial Service Authority rules.
Richard Heis, (pictured) joint special administrator of MF Global UK, said: “We have worked closely with MF Global management and staff and the exchanges and clearing houses to allow the huge number of client positions to be transferred to other brokers or closed in an orderly manner, in accordance with the relevant rules.
“We are pleased with progress in the collection of both client and company monies, and are working hard to prepare to make an interim distribution of client money as soon as reasonably practicable.”
The administrators hope to pay the majority of client funds back before March 2012, with the creditors meetings scheduled for 9 January.
The special administration regime was created in February following the collapse of Lehman Brothers, which was swamped in litigation and complex transactions, resulting in some creditors waiting years for payment.
The newly created administration entails three tasks: making a swift return of client assets; timely engagement with authorities; and to rescue the business as a going concern, or to wind it up in the best interests of the creditors. A regular administration involves the latter, but not the first two objectives.
Manufacturer DMG Steelworkers has been sold out of administration in a pre-pack deal by insolvency and restructuring firm CVR Global
By threatening creditor returns, the government could undermine the UK’s World Bank insolvency ranking and cost creditors £8m a year, trade body R3 warms
Lee De’ath and Richard Toone, partners at CVR Global, were appointed joint-administrators of Lexden Centre (Oxford) Limited, trading as Colchester English Study Centre (CESC), on 29 June 2016
Peter Saville, Ryan Grant and Anne O’Keefe of AlixPartners will now become the supervisors of the CVA and monitor the implementation of the proposal