Administrators of Reyker Securities update on distribution of funds
The JSAs received valid client money distribution instructions in respect of 8,834 client plans.
The Joint Special Administrators of Reyker Securities have published a notice to customers of the company which entered into administration in October 2019.
The deadline to participate in the first interim distribution of client money has now passed.
The JSAs received valid client money distribution instructions in respect of 8,834 client plans and, as at September 10, 2020, have processed instructions in respect of 7,059 Client plans (representing 80% by number of plans and approximately 77% by value of Client Money). Of the instructions received, a physical transfer of cash was required in respect of 7,353 Client plans (representing 83% of all valid instructions received).
A number of clients elected for the JSAs to continue to safeguard their client money until such time that the Distribution Plan relating to the return of Custody Assets is approved with a view to both their Client Money and Custody Assets being transferred to the same nominated broker in due course. Clients that elected to do this will be provided with further details once the Distribution Plan has been approved and their Client Asset Return Statement (as referenced in the Explanatory Statement and Distribution Plan) made available.
The JSAs are continuing to verify and process the remaining Client Money distribution instructions in accordance with industry regulations and best practice.
The transfer of Custody Assets (but not Client Money) is a court-led process and requires approval by the Court of the Distribution Plan. The terms of the Distribution Plan were approved by the Creditors’ Committee on July 31, 2020 and the Distribution Plan was submitted to Court on August 6, 2020.
As FinanceFeeds has reported, the Distribution Plan has been listed to be heard by the Court on October 16, 2020.
