Lendy administrator processed 7,200 withdrawal requests this year
Lendy’s administrator has processed around 7,200 withdrawal requests since the start of the year, leaving 2,178 outstanding withdrawals worth £2.5m.
RSM said withdrawal requests made after 2 February are currently being processed and all requests on this date should be completed within the next week, unless there is an issue or outstanding information is needed from an investor.
“As previously communicated, the withdrawal process is a manual task, and the remaining team consists of a skeleton staff who are able to process around 1,200 withdrawals per week,” the administrator said in a statement to creditors. “Therefore, investors should expect an extended lead time for withdrawal requests to be processed and payments made.”
RSM added that some distributions could not be made as creditors’ details were incorrect, and urged them to check their details.
The administrator resumed distributions after the outcome of a court order. The court order involved creating a ‘cost protocol’ which worked for both the investors and the administrators.
RSM said last month that 2,400 withdrawals had been processed since restarting interim distributions on 5 January 2023, totalling £4.4m. It did not disclose a new total within its latest update.
Lendy entered into administration in 2019, leaving thousands of investors in the dark about the recovery of their funds. The former peer-to-peer property development lender had more than £160m outstanding on its loanbook and at least £90m of those funds in default at the time of its collapse.
RSM recently confirmed that the administration process will extend past its May 2023 deadline.
Read more: Lendy distributions this month total £4.4m