Blankstone Sington Limited enters Special Administration
At 11.31am last Friday, the High Court of Justice in England and Wales made an order placing the Liverpool based Blankstone Sington Limited into Special Administration.
Andrew Poxon, Alex Cadwallader (pictured above) and Hilary Pascoe of Leonard Curtis were duly appointed as Joint Special Administrators.
The Special Administrators have secured all clients’ assets and safeguarded the Company’s systems. Clients are assured that their assets are safe.
The objectives of the Special Administration are:
- To ensure the return of client assets as soon as reasonably practicable;
- To ensure the timely engagement with market infrastructure bodies and the Authorities pursuant to regulation 13 of the Investment Bank Special Administration Regulations 2011
- To either rescue the Investment Bank as a going concern or wind it up in the best interests of creditors.
The Special Administrators consider that the quickest and most cost-effective way for client assets to be returned to clients is by way of a transfer to a single broker regulated by the FCA.
The Special Administrators are working to identify a suitable broker for the transfer and several parties have been shortlisted. The Special Administrators also confirmed that they have retained all of the Company’s staff to ensure the Special Administrators are able to operate at an appropriate level to facilitate a return of client assets as soon as possible.
Andrew Poxon of Leonard Curtis commented: “First and foremost we wish to assure clients that their assets are safe. Our priority is to return assets to clients as quickly as possible and we are in advanced discussions with several parties regarding a potential transfer.
We are working closely with the Board, the FCA, the FSCS and all relevant market infrastructures to expedite a transfer. Whilst we cannot give an exact time frame at the moment for the completion of a transfer, we are working with all parties to avoid any protracted disruption to clients.”
He also advised clients to be wary of claims management companies (CMCs) looking to engage Blankstone’s clients to progress claims for a significant charge.
Andrew commented: “Please note that the Special Administrators will continue to liaise with the FSCS to compensate eligible clients directly if required, without the need to engage CMCs. We will keep you informed by way of future updates.”
Leonard Curtis is advised by Drew Sainsbury and Richard Bulmore of Ashurst LLP and Will Jones and Elizabeth Wood of Hill Dickinson LLP.