michaelc
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Post by michaelc on Mar 14, 2019 23:43:54 GMT
By the way, does the NDA prevent you from providing only figures? For instance, out of 100 loans ... 30 repaid 20 being negotiated 25 receivers appointed 25 undergoing refinance etc. Yes. No aspects of loan book specifics can be discussed. How could that information if made public alter the recovery prospects ?
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kaya
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Post by kaya on Mar 15, 2019 8:32:19 GMT
Am I the only one struggling with the purpose of the creditors committee if it can tell us almost nothing?
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SteveT
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Post by SteveT on Mar 15, 2019 9:00:52 GMT
Am I the only one struggling with the purpose of the creditors committee if it can tell us almost nothing? Its purpose is to help guide the Administrators and to endorse (or otherwise) their proposed actions in order to streamline decision making. Its members are the elected representatives of the creditors, but communication with creditors is the responsibility of the Administrators (6 monthly, then annually once they become Liquidators) and not the CC members, who are bound to confidentiality by NDAs. None of this is up for debate; it's simply the law.
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Post by mrclondon on Mar 15, 2019 11:51:26 GMT
Monetus - if I remember correctly BDO's last progress report indicated the intention to transition from administration to liquidation in April. It might be helpful to elaborate what impact, if any, this transition will have on the creditors committee as currently constituted. The CC meetings seem to be every 2 months or so, in which timeframe from this point the transition to liquidation is expected to occur.
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Monetus
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Post by Monetus on Mar 15, 2019 12:13:18 GMT
I don't know if you can shed any more light on this Monetus , as I find this quite worrying in terms of its eventual impact on how any recoveries are distributed. Collateral had circa 1132 investors - 15% ~ 170 > 30 What is the plan to contact the remaining 140 investors who have discrepancies on their balance figures? Of the other 963 investors whose balance is supposed to be accurate or reconcilable, how many confirmed this to BDO? Have all 30 who have been contacted by email on this matter responded to BDO - i.e can they be sure no emails have gone astray? Declaration of interest - I did not confirm my balance statement with BDO and I did have loan parts on the SM and funds in the two small undrawn property loans. I have not received any emails recently. I think you're overthinking it. BDO started out by testing their findings on a small sample size of 4 (Committee Members with active investments) which now all balance (along with 85% of all investors). They are now just casting a wider net to try and find a solution to the discrepancies uncovered. It makes sense to contact people with the largest discrepancy first simply as they'll have more data to work with when trying to resolve the problem. If the solution can be discovered within this group of 30 (and progress is already being made as it appears to be related to the secondary market and cash balances) then there theoretically won't be a need to contact anyone else as the solution should apply across the board. Edit: BDO have now addressed this HERE
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Monetus
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Post by Monetus on Mar 15, 2019 12:30:10 GMT
Monetus - if I remember correctly BDO's last progress report indicated the intention to transition from administration to liquidation in April. It might be helpful to elaborate what impact, if any, this transition will have on the creditors committee as currently constituted. The CC meetings seem to be every 2 months or so, in which timeframe from this point the transition to liquidation is expected to occur. The Creditors Committee will continue in its current form and meetings will likely continue every 2-3 months or so. So not much will change really. Official BDO reporting however, will change from every 6 months to annual. BDO just also touched upon this in their latest FAQ: I understand that the Administrations will end by 27 April 2019, what are the practical implications?
The Joint Administrators’ proposals, as previously approved by investors and creditors, provide for the Companies to move from Administration to Creditors’ Voluntary Liquidation at the end of the 12-month administration period. Accordingly, the Joint Administrators will take steps to place the Companies into Creditors’ Voluntary Liquidation before 27 April 2019. In practice, the Joint Administrators will continue to deal with the affairs of the Companies as Joint Liquidators, and will continue their work to realise the Companies’ assets and return funds to investors and creditors.
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Monetus
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Post by Monetus on Mar 15, 2019 12:47:48 GMT
Monetus.... are you happy with progress? This requires a multifaceted response: Am I happy with progress? No. Am I happy with fees? No. Am I happy that BDO are doing their job given the complex circumstances and hand they've been dealt? Yes.
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Monetus
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Post by Monetus on Mar 15, 2019 12:54:41 GMT
As above, many thanks for you time Monetus and the other attendees, 5.5 hours wow. Did you come away with a positive feeling ? I came away with the feeling that - in the words of another Committee Member - this will be a "painfully slow and expensive" affair.
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Monetus
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Post by Monetus on Mar 15, 2019 13:09:39 GMT
Monetus - as per others many thanks for this - did BDO give any indication as to when any further update will be provided to investors as part of their acknowledgement about comms at the previous meeting? Given current sensitivity as above, perhaps not, but I am sure this is what wrankles with most investors alongside no repayments or a sign of any! Cheers P Due to cost concerns and commercial factors it was decided that it wouldn't be appropriate for BDO to update investors on recoveries on a loan-by-loan basis. There may be occasional ad hoc updates on other matters relating to the administration (like today) but the Administrators will be adhering to the statutory reporting schedule and providing information on recoveries inside those reports.
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Monetus
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Post by Monetus on Mar 15, 2019 13:16:17 GMT
Thanks to Monetus for attending. It sounds like a long day.
With the NDA it's hard to tell but I don't feel encouraged.
Only 2 more recoveries since the previous CC meeting seems pretty poor progress and I expect a lot of that has been swallowed up by fees.
On the subject of the fees, BDO's initial estimate was much too low. I recall the committee had asked them to come up with a revised fee estimate. Is it possible to say whether they have done this?
Yes the Committee has been provided with an updated estimate which is currently under review.
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Monetus
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Post by Monetus on Mar 15, 2019 13:17:08 GMT
To be confirmed but likely to be mid-June.
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Post by GSV3MIaC on Mar 15, 2019 13:28:48 GMT
Am I the only one struggling with the purpose of the creditors committee if it can tell us almost nothing? Its purpose is to help guide the Administrators and to endorse (or otherwise) their proposed actions in order to streamline decision making. Its members are the elected representatives of the creditors, but communication with creditors is the responsibility of the Administrators (6 monthly, then annually once they become Liquidators) and not the CC members, who are bound to confidentiality by NDAs. None of this is up for debate; it's simply the law.
Personally I consider it miraculous that we actually have a contact with one (or more) of the CC members, who have so far resisted shouting back at all the impatient people expecting instant and brilliant unwinding of a massively messed up situation, and who bother to report back what they can (saying nothing at all would be far safer, NDA wise).
And if administrators are slow and ponderous, it is quite a lot to do with the toxic and intimidating environment they operate in (think Rhino's, not Galapagos Iguanas). Any t's left uncrossed and the creditors are straight after them (the original defaulters usually having far less money than the administrators do .. except in the case of Coll's chosen administrators of course, who were as penniless as Coll themselves it seems).
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p2ploser
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Post by p2ploser on Mar 15, 2019 20:15:03 GMT
Thanks Monetus for your efforts. Are you able to provide any high level info. on the non-property loans (jewellery) etc. Something like were all items loaned against under collateral control and have they all now been sold? Not looking for info. on individual items just a high level view. Many thanks.
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Monetus
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Post by Monetus on Mar 15, 2019 21:50:08 GMT
Thanks Monetus for your efforts. Are you able to provide any high level info. on the non-property loans (jewellery) etc. Something like we’re all items loaned against under collateral control and have they all now been sold? Not looking for info. on individual items just a high level view. Many thanks. Unfortunately I can't comment on this - apologies.
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adrianc
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Post by adrianc on Mar 18, 2019 15:40:30 GMT
It looks from here that there is actual progress being made. I feel mildly optimistic after reading the last page or so - or is it just the buds of spring and new-born lambs in the fields...?
Another vote of thanks to @monetus for his work and commentary.
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