michaelc
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Post by michaelc on Apr 12, 2018 15:01:29 GMT
Thought I'd make use of the fact that this board can have more than one thread.
So the general feeling seems to be they will lose but what if they win? Would/could the court also force the FCA to allow RR to run down the loan book? If not presumably RR would be somewhat paralysed.
Would we then see more of our money being used to pay for judicial review in the high court (no doubt next year) or something like that??
Or maybe they'd simply liquidate all assets and repay us from that (and presumably a few borrowers might have something to say about that).
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mason
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Post by mason on Apr 12, 2018 17:45:11 GMT
The Group would still be unauthorised to conduct any regulated activities. Repaying us would presumably be included in that. So our only hope would be that the whole Group was sold to an authorised firm who could then act. That seems fairly unlikely.
I don't believe the court could compel the FCA to act contrary to what is set out in law, so quite why RR is contesting the case I don't know. Perhaps it has something to do with £48k sitting in a frozen account.
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agent69
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Post by agent69 on Apr 12, 2018 17:56:58 GMT
If RR loose do they have to give the £48k (or is it £88k) back?
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mary
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Post by mary on Apr 12, 2018 18:06:20 GMT
If RR loose do they have to give the £48k (or is it £88k) back? Fairly sure that's gone. The issue is how much follows it - either outcome will ensure more is paid to whoever administers the the remains. While there are laws governing the proces there does not seem to be any cap on the fees charged by whoever is the administrator, see all stories on the charges being paid to sort out the Carillion mess.
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invester
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Post by invester on Apr 12, 2018 18:23:12 GMT
I fear we're going to get shafted, chaps.
£17m on the loan book ain't exactly a heap of money. And it seems that it'll be at least another 2 months or so before controls are taken.
I kind of have resigned myself to that a good chunk of the loans will end up being long-drawn out affairs where the borrower just hands over the asset and stops making payment, meaning that wind-down ends up taking several years.
It seems that from today's missive and that we are creditors that we rank behind the administrators when monies go back into the accounts from repayments (of which there should be some).
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blender
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Post by blender on Apr 12, 2018 18:40:14 GMT
If RR win, that will mean that they will have proven that Col were not doing any regulated activities. Otherwise they will lose. If RR win, the FCA will have no further involvement or influence. Lenders may then find out the true meaning of the RR name, and who it is who is supposed to recover and be refreshed in a pre-pack. But it's not going to happen, imo, however badly FCA have done their job.
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Apr 12, 2018 18:49:43 GMT
I fear we're going to get shafted, chaps. £17m on the loan book ain't exactly a heap of money. And it seems that it'll be at least another 2 months or so before controls are taken. I kind of have resigned myself to that a good chunk of the loans will end up being long-drawn out affairs where the borrower just hands over the asset and stops making payment, meaning that wind-down ends up taking several years. It seems that from today's missive and that we are creditors that we rank behind the administrators when monies go back into the accounts from repayments (of which there should be some). We are not technically creditors the loans are between us and the borrower in ring fenced accounts Col only act as brokers and administrators of OUR money. Legally they or anyone else can only return it to us and be paid under their terms with the borrowers
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averageguy
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Post by averageguy on Apr 12, 2018 19:07:15 GMT
If RR loose do they have to give the £48k (or is it £88k) back? Fairly sure that's gone. The issue is how much follows it - either outcome will ensure more is paid to whoever administers the the remains. While there are laws governing the proces there does not seem to be any cap on the fees charged by whoever is the administrator, see all stories on the charges being paid to sort out the Carillion mess. I don't think it has....RR aren't currently doing any work ...and that bit allocated to staff ..well there aren't any now ..so i presume some of that is left
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agent69
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Post by agent69 on Apr 12, 2018 19:12:36 GMT
I fear we're going to get shafted, chaps. £17m on the loan book ain't exactly a heap of money. And it seems that it'll be at least another 2 months or so before controls are taken. I kind of have resigned myself to that a good chunk of the loans will end up being long-drawn out affairs where the borrower just hands over the asset and stops making payment, meaning that wind-down ends up taking several years. It seems that from today's missive and that we are creditors that we rank behind the administrators when monies go back into the accounts from repayments (of which there should be some). We are not technically creditors I assume the only creditors (people that are owed money by Col) are where Col were due to pay interest on loans that hadn't drawn down. If RR think we are all creditors then why was today's letter addressed to investors / creditors
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agent69
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Post by agent69 on Apr 12, 2018 19:14:11 GMT
If RR loose do they have to give the £48k (or is it £88k) back? Fairly sure that's gone. If it's proven in court that RR have acted improperly (illegally?) by not seeking FCA approval, why should they not be held to account for the costs of their actions?
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mason
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Post by mason on Apr 12, 2018 20:19:09 GMT
If RR loose do they have to give the £48k (or is it £88k) back? Fairly sure that's gone. No, "Due to the restrictions imposed by the Court following the FCA application the above monies have been placed into individual client accounts and cannot be utilised by any party until the legal matters are concluded." If RR is replaced as administrator, then unless the Court decides to award them costs, they'd be registering with the new administrator as an unsecured creditor.
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mason
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Post by mason on Apr 12, 2018 20:22:45 GMT
I fear we're going to get shafted, chaps. £17m on the loan book ain't exactly a heap of money. And it seems that it'll be at least another 2 months or so before controls are taken. I kind of have resigned myself to that a good chunk of the loans will end up being long-drawn out affairs where the borrower just hands over the asset and stops making payment, meaning that wind-down ends up taking several years. It seems that from today's missive and that we are creditors that we rank behind the administrators when monies go back into the accounts from repayments (of which there should be some). We are not technically creditors the loans are between us and the borrower in ring fenced accounts Col only act as brokers and administrators of OUR money. Legally they or anyone else can only return it to us and be paid under their terms with the borrowers It depends if the relevant legal agreements have been made and are valid. To date, nothing has been revealed suggesting this is not the case, but it's possible there is nothing legally enforceable backing our understanding of how loans were made.
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invester
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Post by invester on Apr 12, 2018 22:05:31 GMT
One of the few things that seems to be fact is that COL played fast and loose with the rules on more than one occasion. They can't be trusted.
I also get a feeling that RR wouldn't care too much about things, considering they promised 100p in the pound recovery and they still got muscled out of it.
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GeorgeT
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Post by GeorgeT on Apr 13, 2018 0:06:21 GMT
If RR win on April 27 my name is George Van T.
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hazellend
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Post by hazellend on Apr 13, 2018 7:02:33 GMT
If RR win on April 27 my name is George Van T. Agree, but they must think they have a chance otherwise why would they bother?
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