E&Y successfully defends Barings role
An attempt by a US group of creditors to remove Ernst & Young as liquidators of the collapsed Barings Bank failed this morning.
A hearing brought by a US group of bondholders known as the 1986 Noteholders failed and the court also overruled the group’s demand for leave to seek an appeal.
Alan Bloom, head of corporate restructuring at E&Y and in charge of the Barings case, told AccountancyAge.com: ‘A judgement was made and the application to have the liquidators removed was refused.’
The group, also referred to as vulture funds, wanted KPMG to replace E&Y as their representative in the £1bn court case due to start today.
Coopers & Lybrand London and Singapore, now merged into PricewaterhouseCoopers, made a joint application together with the UK and Singapore liquidators to postpone the trial until 25 June 2001 to give both parties more time to discuss the possibility of a settlement.