28 August, AtoZForex.com, Lagos – In the aftermath of the historic black Thursday SNB event, LQD markets emerged as one of the deeply affected brokers. The broker’s financial situation prompted the appointment of Bake Tilly as a special administrator to take over the affairs of the bankrupt broker.
Following initial challenges faced by Baker Tilly as regards the process of settling LQD’s issues, which led to unprecedented delays in the process of client claims refunds by the special administrators of the defunct LQD markets. One of the issues earlier faced is the magnitude of client deficit, which turned out to be about double, in comparison to the initial projections at $2.84 million. They identified a total of 396 clients, having client money claims totaling almost $4 million.
After the FSCS clarified that customer deposits are covered under their scheme, hence, those customers with cash only balances on all of their accounts must agree their account balances with the administrators. This process was further delayed due to rejection by creditors with £826 worth of votes of the initial proposal made by Baker Tilly for handling the bankruptcy.
LQD markets clients with under £50,000 will now be contacted shortly. For clients whose deposits exceed the insured limit of £50,000, they are unlikely to recover any additional funds due to the massive gap in the client money pool, except additional funds are left over after settlement of all other liability after liquidation of assets.
