General update - BACSL press release

14 May, 2018

Update on Beaufort Asset Clearing Services Limited - in special administration (“Beaufort”) - 14 May 2018

A meeting of creditors and Clients was held on 10 May 2018 for the purposes of voting on our proposals and electing a creditors’ committee, as well as providing the opportunity to interact in an open forum with the administrators. The proposals were duly approved and a committee appointed.

There were several questions on costs and also cost allocation. It was explained that the initial £100m reserve estimate was the highest forecast scenario assuming a four-year process and it was expected that eventually costs would be significantly lower.

The reserve includes the costs of maintaining ongoing operations including 35 retained Beaufort staff, office space and related expenditure, alongside the IT infrastructure which is critical to support the client records. Additionally there will be the costs of the administrators and legal advisers. Finally we have included a general contingency and VAT.

Both the level of reserve and its allocation will be determined in conjunction with the committee. Overall costs to date are in the order of £6m.

The administrators also confirmed that they had drawn no fees to date and that their fees would be approved by the committee (or failing that, the Court).

Separately, the administrators have announced a bar date to begin the process of returning client money and client assets. A client portal is now available for clients to view their entitlements based on Beaufort’s books and records. Clients have until 8 June 2018 to confirm these details or, if they disagree, to submit their claim.

The administrators are also on course to deliver a distribution plan outlining the process of returning client assets and client money in a way that gives certainty and protection to clients.

Russell Downs, special administrator and a partner at PwC, said:

“ The bar date announcement is the first step to enable clients to confirm their claims for client money and client assets that are held by Beaufort as at 1 March 2018, and the setting of a deadline for receipt of these claims.

“ This is the first major milestone in the special administration of Beaufort. We are delighted to have reached this stage of the process.  We look forward to working with the committee on the development of the distribution plan.

“The aim is to begin client asset and client money returns for most clients starting in September 2018.”


BACSL voting summary


Committee members comprise:


Allen Challender

Clive Brook 

Robin Binks

Nick Moser (representing Carl Memmott)

Robert Lee (representing Midland Fundco Limited)



David Kipling

Anthony Breton

Adam Stephen (representing Strand Capital Limited)

Guy Enright (representing the FSCS)

Mark Hyde (representing Resource Early Stage Opportunities Company)

Jon Yorke (representing Gulf Biomedical Ventures LTD and 25 other clients)


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