E&Y (KSFUK) - 12th Dividend in the offing

  • Gordon 45
  • 22/10/08 n/a (free)
  • a depositor
  • Offline
Posted: Thu, 02/10/2014 - 23:23

Hi Folks,

I see that E&Y have issued a notice on the 29.9.2014 re a 12th dividend on behalf of KSFUK. Last date to submit 'proofs of debt' is 22.10.2014. And the dividend must be declared within 2 months of that date.

I have alllowed for a 1.5p/£ dividend from them, in my calcs, by the end of the year. So we will see what we get. But good news as it means some form of return to us (our JLs) in our quest for 100%

Just a short reply to thesunnysouth & bobbymann re their Blogs on calling all loans in by our JLs. John of the £1.05m on costs against a £197k in from loans last month, £888.6m came from retentions due but not paid out until August 14 for the period 3.4.10-31.5.13. Returns from loans for the year so far, according to my calcs are ££7.8605m based on JLs values in their monthly data.

My own view is the remaining £0.129m the Jls still have for costs will be insufficient to last until the end of the Liquidation and that is why I have allowed for another £0.7m on top of that in my spreadsheet for quite some time now. Costs since the start of 2014 are for Jan to August as follows: £50k, £17k, £100k, £28k, £34k, £30k, £48k and £1.05m.

I have also lowered my thoughts on returns from the KSFIOM loan book to 34% of residual loans. Because the Jls are only allowing for a return of between 5.55% and 10.37% from the remaining £27m in their July 14 Progress Report. But based on the Progress Report info £3.1m is due back from UK property and of that £2.8m is London. And £4.9m overseas, probably mainly Spain, where there is an improvement in the Market - but still well down. And although Yachts account for £14.2m surely there must be some room for a return of sorts for the 3 yachts. Having said all that I do think the JLs must move soon on all loans, as all are now outstanding.

It would be nice to see our loan book finalised by the end of 2015 including any litigation and also the KSFUK loan book by the same date therefore only leaving the 'Parental Guarantee' and KSFUK's claim against Kaupthing hf. Assuming there is no Litigation against any of the KSFIOM Bank Directors.

We are doing wel now with a 98% return but it could be a long haul in getting the residual 2%

Take care

Gordon 45

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Outstanding loans

  • bobbymann
  • 01/10/14 31/05/09
  • a depositor
  • Offline
  • Fri, 10/10/2014 - 17:33

Hi everyone
What a nice surprise - some cash arrived today from DCS. My losses on the stock markets recently have put KSFIOM in perspective sadly but nice to be moving towards the end of this one!
As per my blog post - I expect the reason why we aren't getting these loans repaid (high value executive toys like superyachts and holiday homes) is that the loans were to people who were "super-rich" then but not so now, the most likely culprits being the boys at the Bank (KSF executives of various kinds!)
This is because KSFIOM would not have just been secured on the asset (normally) but would have taken other security like personal guarantees/ company guarantees etc and the latter have clearly become worthless, because our pals are broke/ in gaol etc.
That leaves the JLs' with supa-yachts (not so super now) for which the market has bombed and same for foreign property.
The usual finance terms would allow them to step in and take possession of these things and trade them for the benefit of the bank, so presumably Mike Simpson and the lads have some yacht brokers and managers trading some honky-tonk gin palaces for us. Perhaps a free week each might be deserved?
As to whether we should sell them now and swap income for severely-reduced capital, I guess the JL's would be taking expert estate agent/ broker advice and are following that. Can't really lose can they?
Such a shame that with the money paid to JL's we could have been 100% yonks ago with interest.
What a saga - as "Job" puts it: "Man was born to trouble as the sparks fly upward!"


Outstanding loans

  • thesunnysouth
  • 10/10/08 31/05/09
  • unspecified
  • Offline
  • Thu, 09/10/2014 - 15:20

Gordon,
As ever very insightful. I believe that we are both pointing out the same issue. What we have retrieved and what this has cost is in the past. We have but a handful of loans outstanding, all well past there sell by date.
The JLS stated some years ago that an exercise to ensure LTV was at 60% was undertaken. Even given some slippage it must be more cost effective and also beneficial to depositors to simply call all loans in and get what we can. This will ensure that as we now pass the 6th anniversary we can get to 100% before the 7th and end this blight on all our lives and at the same time end the gravy train for the JLS who basically now manage about ten accounts,
I hope we get good news on this front soon and if not then possibly an indication why this course of action is not appropriate.
John


Clean up time

  • sambururob
  • 10/10/08 n/a (free)
  • a depositor
  • Offline
  • Thu, 09/10/2014 - 15:41

We agree. It is time to actively chase down these loans and force asset sales even if this results in massive write downs. 'Birds in the hand' and all that !!
Rob and Wendy


Thanks

  • mikepapa
  • 10/10/08 n/a (free)
  • a depositor
  • Offline
  • Thu, 09/10/2014 - 13:00

Gordon,

As always thanks for excellent insight!

Kind regards,

Mike