Administrators of SVS Securities launch claims portal
Clients of SVS Securities are strongly encouraged to submit their claims not later than the bar date of January 10, 2020.
The special administrators of SVS Securities plc, which was placed in Special Administration by its directors early in August 2019, today posted a set of important documents for the clients of the firm.
The set of newly posted documents includes a Letter to the clients of SVS Securities outlining certain actions which clients of the firm are required to take by 17.00 hours (GMT) on January 10, 2020 in order to submit their claim.
As set out in the Administrators’ proposals, which were approved by SVS Securities’ clients and creditors at the meeting on October 10, 2019, the Administrators have developed an online claims portal to enable clients to submit claims for custody assets and client money.
The Joint Special Administrators consider that it is necessary, in order to expedite the return of custody assets and client money, to set a custody assets bar date and a client money bar date in accordance with regulations 11 and 12A (respectively) of the Investment Bank Special Administration Regulations 2011. For reasons of efficiency, the custody assets bar date and the client money bar date will occur simultaneously. The bar date, in respect of both custody assets and client money, is 17.00 hours (GMT) on January 10, 2020.
The Claims Portal to assist clients in submitting claims for custody assets and client money held by the Company is now live. The Claims Portal will enable clients to view their client statement(s) showing their holdings of custody assets and/or client money as at 5 August 2019 per the records of SVS. Accordingly, the statements do not include dividends and bond coupons received after that date or reflect any mandatory corporate actions post 5 August 2019.
The Claims Portal contains guidance notes on how to submit one’s claim and what steps are necessary in the event that clients wish to dispute their holdings of custody assets and/or client money.
Each client has been provided with their own unique access code to access the Claims Portal. This code is private and confidential and should not be shared with any other person.
The Portal can be accessed at https://LeonardCurtis.InsolvencyData.co.uk.
If a certain client fails to submit a claim by the bar date stated above, it is not guaranteed that this client’s claim will be taken into account when a distribution or transfer is effected and this client will lose any right to dispute a claim per the records of the company. For any client who does not submit a claim via the Claims Portal by the bar date, the Administrators intend to effect the transfer of custody assets and/or client money to a regulated broker based on the company’s records.
The Claims Portal also allows clients to apply for the Financial Services Compensation Scheme (FSCS) compensation through a simplified process, to cover the costs of the transfer of custody assets and/or client money.
The latest update from the FSCS concerned those customers of SVS Securities categorised by the Joint Special Administrators as ‘Elective Professional Clients (EPC) holding an FX account balance’. The Scheme said it will be able to protect eligible claimants – individuals and small businesses – within that group whose money has not been returned.
FSCS says it has reached this decision because of the type of investment, and because of the way the investment was held. The Scheme can cover shortfalls for eligible customers with valid claims up to the compensation limit of £85,000.