Deloitte to pay Bank £73m over BCCI
Award brings closure to marathon BCCI case
Deloitte, liquidator for collapsed lender BCCI, will pay the Bank of England
costs of £73.6m, bringing to an end one of the most expensive cases in UK legal
This follows Deloitte losing its marathon court case against the Bank last
According to the BBC, the Bank had considered seeking even greater amounts
from Deloitte to cover the costs of the 12-year legal tussle, but that would
have meant more delay.
A spokesman for the Bank said that this final settlement was ‘an excellent
result’ and would allow it ‘draw a final line under the case’.
BCCI collapsed in 1991 owing more than $16bn. It is thought to be the world’s
biggest bank fraud.
Deloitte, as liquidator, sought damages of £1bn for BCCI creditors, claiming
the Bank failed to protect investors but dropped the case last November after a
High Court judgement argued that prolonging the action was not in the best
interests of creditors.
A spokesman for Deloitte declined to comment.