Proposed scheme of arrangement, pursuant to Part 26 of the Companies Act 2006, for a full and final settlement in respect of surplus entitlements and the payment of statutory interest – launch of scheme documents and voting process - 14 May 2018

Further to the announcement made on 2 May 2018, a copy of which can be accessed here and the service of an additional witness statement for Russell Downs (“RD2”) on 8 May 2018, the Joint Administrators are pleased to inform creditors that on 11 May 2018, the High Court ordered for meetings of creditors (“Scheme Meetings”) to be convened for the purpose of considering and, if thought fit, approving the proposed scheme of arrangement (with or without modification). A copy of the order of the High Court can be viewed here. 

The Scheme Meetings will be held at the offices of Linklaters LLP, 1 Silk Street, London EC2Y 8HQ from 4pm (London time) on Tuesday 5 June 2018. A copy of the notice of the Scheme Meetings can be viewed here.

Creditors are invited to attend the Scheme Meeting relevant to their provable claim(s) and may do so in person or by appointing a proxy-holder to attend on their behalf. Those creditors wishing to attend any of the Scheme Meetings in person should ensure that they (or their proxy-holder) arrive at the venue for the Scheme Meetings before 3pm (London time) on Tuesday 5 June 2018, for the purposes of registration.

Creditors with ordinary unsecured claims that have been admitted by the Joint Administrators (“Admitted Claims”) will shortly receive confirmation that their voting information is available on the creditor portal. Such creditors can vote in respect of the proposed scheme and make any elections relevant to their Admitted Claims via the creditor portal, without having to attend the Scheme Meeting(s) relevant to their Admitted Claims in person.

Creditors who have proved for an ordinary unsecured claim that is yet to be determined will shortly receive a letter and a form of proxy that explains their voting rights in respect of the proposed scheme. 

Creditors who have an ordinary unsecured claim that they are yet to prove for are reminded that if the proposed scheme becomes effective, it will give rise to a bar date that will result in the holders of unnotified claims being incapable of receiving any distribution from LBIE’s estate in respect of such unnotified claims. Such creditors are therefore encouraged to submit their claims as soon as possible and a form of proof of debt can be obtained for this purpose here or by request by email to schemequeries@lbia-eu.com.

Further information regarding the terms of the proposed scheme, its effect (including the operation of the bar date), the composition of classes of creditors and the procedure for voting at the Scheme Meetings (including appointing a proxy-holder to attend one or more Scheme Meeting) can be found in the Explanatory Statement dated 14 May 2018, a copy of which can be viewed here.

A copy of the Scheme Document, that sets out the terms of the proposed scheme can be viewed here.

The Explanatory Statement and the Scheme Document are important documents and the Joint Administrators encourage all creditors to read them carefully. These documents have been sent by email or post to all persons who the Joint Administrators believe are or may be the holders of ordinary unsecured claims.

Creditors can obtain hard copies of the Scheme Document and Explanatory Statement free of charge upon request by email to schemequeries@lbia-eu.com. Alternatively, prior to the Scheme Meetings, these documents will be available for inspection at the offices of Linklaters LLP, 1 Silk Street, London EC2Y 8HQ, during usual business hours on business days.

Further updates regarding the proposed scheme will be posted to the LBIE website in due course.