THE BANKER of collapsed firm RSM Tenon has seen £50m wiped off what it was owed.
Lender Lloyds TSB was owed £79.5m by RSM Tenon at the time the firm entered into administration, with Baker Tilly paying the bank £22.5m as part of its purchase.
The administration was run as a pre-pack, which saw buyers - Baker Tilly - take on its assets at the start of the insolvency process.
In a statement to creditors by joint administrators from Deloitte, it was also revealed that RSM Tenon tax division Premier Strategies Limited has had all its tax schemes challenged by HM Revenue & Customs, with the situation "ongoing". RSM Tenon had closed the division off to new business from 2012.
Baker Tilly bought RSM Tenon for £30m, of which £1m in cash consideration was paid towards the firm's shares; £22m was paid to settle the bank debt; plus a £7m working capital adjustment.
Upon the purchase of RSM Tenon, client data from Premier Strategies was released to Baker Tilly to seek authorisation to act on their behalf - Baker Tilly then paid £80,000 to the administrators to act for the clients.
The administrators have charged £387,000 for their work on the collapsed firm. Work on the PLC has equated to £266,000 (at an average of £599 per hour) and £121,000 (at £561 per hour average).
Lawyers appointed by the administrators, CMS, have charged £41,500 and expect to charge another £50,000 to finish their work.
Unsecured creditors, excluding interest and loan arrangement fees, stands at £2m - which is likely to go unpaid. PLC shareholders will also receive no return on their holdings.
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