Blankstone Sington Limited (In Special Administration), Re
[2024] EWHC 1111 (Ch)
In the Matter of SVS Securities PLC (in Special Administration)
16 March 2023
[2023] EWHC 585 (Ch)
High Court
A company in special administration (like a really careful type of bankruptcy) got permission to close down. They gave almost all the client money back and the court said they did a good job.
Key Facts
- •SVS Securities Plc (in special administration) sought final exit relief.
- •Special administration commenced 5 August 2019.
- •A distribution plan was approved on 7 May 2020, involving a block transfer of nominee subsidiaries.
- •Approximately 18,600 clients; over 99% (18,353) received approximately £205 million in client assets and client money.
- •No misfeasance claims were notified.
- •The FCA granted a waiver of client consent for the money transfer.
Legal Principles
Rule 240 of the Investment Bank Special Administration (England and Wales) Rules 2011 (IBSA Rules) governs applications for final exit relief.
Investment Bank Special Administration (England and Wales) Rules 2011
Sections 79(1), 84(1), 85(2), and 98(2)(c) of the Insolvency Act 1986 (as amended by Regulation 15 of the IBSA Rules) provide the legal basis for final exit relief (cessation of appointment, moving to dissolution, discharge of the Special Administration Order, and discharge from liability).
Insolvency Act 1986
Rule 221(1)(b) of the IBSA Rules requires a statement confirming the view that administration should end and certifying that the company has no further distributable property.
Investment Bank Special Administration (England and Wales) Rules 2011
Outcomes
Granted final exit relief: cessation of appointment, permission to move to dissolution, discharge of the Special Administration Order, and discharge from liability.
The special administrators complied with court-approved procedures, conscientiously and rigorously distributed client assets and money, and no objections or further claims were received.
Costs of the application to be paid as an expense of the special administration.
Standard practice.