25 NOVEMBER 2009

Committee of Inspection

Minutes of the Committee of Inspection meeting held on 5 November 2009 are attached. Also attached is a summary of cash deposits held at 2 November 2009, an update on the loan book as at 31 October 2009 and the expenses policy for the Committee which was agreed at the meeting.

PDF Minutes of Committee of Inspection

PDF KSF ExpensesPolcicy for COI

PDF KSF Cash Summary 2 November 2009

PDF KSF Loan Book Update 31 October 2009

Committee of Inspection Policy Statement

The attached is a document which has been drafted by the Committee of Inspection. The Committee intend to update this document periodically as the liquidation progresses.

PDF Committe of Inspection Policy Statement

Filing of proof of claim forms by the Joint Liquidators

The Winding up Rules require the Joint Liquidators to file every month with the Rolls Office, copies of all proofs of debt submitted by creditors, together with a list indicating which have been wholly or partly admitted and wholly or partly rejected. This would incur considerable costs, which the Joint Liquidators are keen to avoid in order to benefit creditors. The Joint Liquidators take the view that it would be easier for the creditors of KSFIOM to have access to the proofs and the lists by attending the company's offices, rather than attending the Rolls Office. Further, the creditors will not have to pay the (admittedly very small) fee required to inspect the proofs and lists at the Rolls Office. Accordingly the Joint Liquidators have applied to the Court for permission to dispense with the requirement to file these documents with the Rolls Office, and have given the Court an undertaking to maintain them for inspection by creditors and contributories at the offices of the bank. A copy of the relevant Court Order is attached. Creditors are entitled to inspect the list and then inspect any particular Proof of Debt which they may have reason to want to inspect, with the exception that creditors are not entitled to inspect Proofs of Debt that have been held over (i.e. those where a decision to admit or reject has not yet been made).

PDF Court Order

Second distribution

I can confirm that it is our intention to pay a second distribution in December 2009. The amount of dividend cannot yet be confirmed, however it is expected to be in the region of 14%. The amount will be confirmed in early December when the amount of cash available for distribution is known.

Any creditors who have not yet submitted a claim, either directly or through the Depositors Compensation Scheme, are asked to submit their claims as soon as possible to ensure that they receive the distributions to which they are entitled.

Tynwald Select Committee

The Tynwald Select Committee has been taking evidence regarding the events leading up to the collapse of the bank. For the information of creditors, transcripts of the oral evidence given by the former Directors of the company and the Financial Supervision Commission are attached. The Committee's report is expected to be published in March 2010.

PDF Tynwald Directors Oral Evidence

PDF Tynwald FSC Oral Evidence

Contacts

As previously, the best way to make contact is to write to the bank or email branch@singers.co.im. If you need to telephone the bank, please use the main switchboard number +44 1624 699222.

 

Mike Simpson

Joint Liquidator