Other Notices

This site provides information regarding the progress of the administration of LB UK RE Holdings Limited (“LB UK RE”) and will be updated with new information from time to time as it becomes available.

Please note that certain postings may contain information that is no longer accurate or applicable as, due to the nature of the Administration, relevant factual and legal circumstances are subject to change. Therefore, certain information on this site may be out of date. The Joint Administrators wish to caution counterparties from relying on any information in this website and they, their staff and advisers accept no liability to any party for any reliance placed upon the information on this website.

Thank you for your understanding as our team continues to work on these complex issues.

The Administrators have a further update on their application to the Court to fix the time for their discharge from liability under paragraph 98(2)(c) of Schedule B1 to the Insolvency Act 1986 (the "Discharge Application"). On 16 November 2023, the Court acceded to the Discharge Application and made the following Order on the terms sought:
Sealed order dated 16 November 2023

The Administrators are seeking to restore their application to the Court to fix the time for their discharge from liability under paragraph 98(2)(c) of Schedule B1 to the Insolvency Act 1986 (the "Discharge Application").
Accordingly, the Administrators are filing the following documents in support of the Discharge Application:
Seventh witness statement of Edward John Macnamara dated 7 November 2023; and
Draft Order

In November 2022, the Administrators’ term of office was extended to 31 May 2023. At the same time, the Court adjourned the Administrators’ application to fix the time for their discharge from liability under paragraph 98(2)(c) of Schedule B1 to the Insolvency Act 1986 (the “Discharge Application”). The Court ordered that the Discharge Application will be restored no earlier than 10 days prior to the date on which the administration is due to end (or, if earlier, the date on which the Administrators propose to give a notice pursuant to paragraph 84(1) of Schedule B1 to the Act). At that time, the application would be given further consideration, with the Administrators to provide an updating witness statement, with a view to the matter being determined on the papers).
In May 2023, the Administrators’ term of office was extended again to 30 November 2023, to give the Administrators time to agree tax clearance with HMRC. At that time, the Discharge Application remained adjourned.
The Administrators have now obtained tax clearance from HMRC. Accordingly, the Administrators now intend to restore the Discharge Application and seek an order fixing the time for their discharge from liability under paragraph 98(2)(c) of Schedule B1 to the Insolvency Act 1986, pay a final dividend to LBUKRE’s creditor and bring the administration to an end.

The Administration was due to expire on 31 May 2023. Following an application to Court, an Order was granted by the Court extending the Administrators' term of office to 30 November 2023.
In November 2022, the Administrators’ term of office was extended on 31 May 2023. At the same time, the Court adjourned the Administrators’ application to fix the time for their discharge from liability under paragraph 98(2)(c) of Schedule B1 to the Insolvency Act 1986 (the “Discharge Application”). The Court ordered that the Discharge Application will be restored no earlier than 10 days prior to the date on which the administration is due to end (at which time that application would be given further consideration, with the Administrators to provide an updating witness statement, with a view to the matter being determined on the papers).
The Administrators have provided tax computations in response to the HMRC Request (as defined in the Joint Administrators’ progress report for the period 15 March 2022 to 14 September 2022), and are seeking to agree tax clearance with HMRC. Insofar as this can be agreed with HMRC ahead of the hearing of the Discharge Application, the Administrators will seek an order granting the Discharge Application. In the event that HMRC does not give the confirmations requested, the Administrators intend to seek a short, six‑month extension to their term of office in order to resolve the tax position with HMRC, pay a final dividend to LBUKRE’s creditor and bring the administration to an end.

At a meeting of the creditors and members of LB UK RE held on 14 May 2015 a proposal for a company voluntary arrangement ("CVA") was approved. Under the terms of the CVA, those creditors not controlled by Lehman Brothers Holdings Inc ("LBHI") had their claims against LB UK RE compromised in exchange for a final top-up payment. On 30 July 2015 the top-up payment was made to non-LBHI controlled creditors, and the CVA was concluded.
Pursuant to the CVA proposal, the Administrators and the LBHI-controlled creditors (as the only remaining creditors) have agreed the terms pursuant to which ownership of LB UK RE's remaining assets will be transferred to the LBHI controlled creditors by way of a distribution in specie. In the meantime LB UK RE remains in administration.

Contacts

All queries to the administrators of LB UK RE should be sent to: nigel.d.rackham@pwc.com and stephen.r.ingle@pwc.com.

_{Dan Yoram Schwarzmann, Edward John Macnamara, David James Kelly and Gillian Eleanor Bruce were appointed as Joint Administrators of LB UK RE Holding Linited to manage its affairs, business and property as agents without personal liability. Dan Yoram Schwarzmann, Edward John Macnamara, David James Kelly and Gillian Eleanor Bruce are licensed in the United Kingdom to act as insolvency practitioners by the Institute of Chartered Accountants in England and Wales. The Joint Administrators are bound by the Insolvency Code of Ethics which can be found at: https://www.gov.uk/government/publications/insolvency-practitioner-code-of-ethics}

_{The Joint Administrators may act as controllers of personal data, as defined by the UK data protection law, depending upon the specific processing activities undertaken. PricewaterhouseCoopers LLP may act as a processor on the instructions of the Joint Administrators. Personal data will be kept secure and processed only for matters relating to the Joint Administrators' appointment. Further details are available in the privacy statement on the PwC.co.uk website or by contacting the Joint Administrators.}

_{LB UK RE Holdings Limited registered in England and Wales with registered no.05347966.}

_{VAT registration no. 446 9315}