Additional debt discovered for LQD markets


baker tilly, LGD markets, SNB debacle

In the early hours of today, a detailed report and proposal with regards to LQD Markets was published by the special administrators, Baker Tilly.

On January 27, 2015, special administrators, Baker Tilly stated that LQD Markets told them of a deficit of $1.355 million. This amount is large but not as hefty as the administrators found out of an extra 137 clients that are owed $1.482 million. This shows that the total deficit on clients’ monies stands at sum of $2.837 million.

Reports, show that former clients of the brokerage company where told and assured to file all claims they have with the company irrespective of the size of the deficit. The administrators have informed the relevant authorities which includes the FSCS about the deficit owed to former clients.

Additionally, the amount owed to clients of LQD market which is £3.38 million is not the total amount. The reason is due to the brokerage company’s introducing brokers. LQD Markets had 223 introducing brokers. This shows that the amount owed to these introducing brokers has to be treated also in the same way.

These new discoveries are of serious concern considering that prospective buyers of the defunct company may shy away as a result of the newly discovered additional liabilities owed by the firm, therefore, the administrators doubt if the deal will still hold as Additional debt discovered for LQD markets .

 

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