Lendy administrator announces second round of distributions
Lendy’s administrator RSM has announced a second round of interim distributions for loans with a balance higher than £100,000.
In a letter to investors today, the administrator said it was now in a position to process second interim distributions on investor accounts for loans: DFL01, PBL103, PBL163 and PBL164.
RSM said that “in line with the agreement with the relevant stakeholders”, at this stage it will not process further interim distributions on loans where the balance is less than £100,000, “as it would not be cost effective for the investors”.
Read more: Lendy administrator processed 7,200 withdrawal requests this year
Further distributions have been promised once a Cost Protocol has been agreed by the courts, a draft form of which is currently waiting for approval.
Once approved, the details of the Cost Protocol will be shared with creditors, investors and the Financial Conduct Authority before being returned to the court for final sign off of the Protocol.
The letter went on to say that since interim distributions restarted on 5 January 2023, RSM has processed distributions totalling £15,168,344.
Read more: £7.9m recovered from Lendy loans as RSM fees approach £5m
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.