KPMG ADMINISTRATORS have charged £14m in fees for nine weeks’ work at MF Global UK.
Since their appointment, the administrators’ bill so far stands at £14m with a further £3.5m for solicitor fees.
Richard Fleming, Richard Heis and Mike Pink, partners at KPMG, were appointed joint special administrators of MF Global UK in November.
The remuneration was revealed at the first creditor meeting yesterday, which was attended by more than 800 representatives.
The administrators’ proposals to deal with MF Global were voted in favour by the majority of the creditors.
The proposals include the three elements of the special administration regime: making a swift return of client assets; timely engagement with authorities; and to wind up the business or rescue it depending on which is in the best interest for creditors.
Heis, (pictured) said: “This has marked a milestone in the special administration of MF Global UK. Both clients and creditors voted overwhelmingly in favour of our proposals, which include the expectation that we will be able to make an interim distribution of client monies within the next few weeks.”
According to the proposals the trio has managed to salvage £594m, representing 82% of segregated funds, with an estimated £200m yet to collect.
Unusually, a creditor committee was not established at the meeting. A committee is normally chosen to represent creditors on decisions made in relation to the insolvent business.
Head of Editorial Kevin Reed looks at the week's news, including the BHS and Austin Reed administration, Accountex and much more.
MPs launch probe into the sale of BHS that will look at role of auditors and accountancy firms in sale process
A short moratorium will give struggling companies a chance to be open with their creditors and negotiate a way out of their problems transparently, says Sykes
Out of a dozen sectors profiled only oil and gas and manufacturing were deemed to have a higher than normal risk of insolvency