Deloitte to liquidate Railtrack
Shareholders of Railtrack Group, the parent company of the derailed infrastructure business, will be asked to appoint Deloitte & Touche as liquidator at a special meeting next month.
Announcing the proposal, the board of Railtrack said Deloitte, as auditor of the company, was familiar with the business and understood the nature of its assets and liabilities.
At the same time, the board estimated a return of up to 260p per share, the first installment of which was expected to be paid early next year.
Justifying the decision to propose liquidators from Deloitte, the board said: ‘As Deloitte & Touche have been involved in the analysis of the company’s liabilities and contingent liabilities, it is likely that the appointment of liquidators from a different firm would delay the payment of the first installment of cash to shareholders.’
Railtrack PLC went into administration last October when former Transport Secretary Stephen Byers controversially pulled the plug on the company.