Creditors to London Capital & Finance will recover as little as 10% of what they are owed, administrators have warned.
It marks a significant reduction in likely returns from the scandal-hit property minibonds company, which collapsed four years ago in a £238m debacle.
Administrators at Evelyn Partners had forecast previously that creditors would get at least 25% of their money back, before trimming that to 20%.
In their latest report at Companies House, they have warned that “the total return to the secured creditors will be in the range of 10% to 18%”.
Most of the money recovered will be paid to the Financial Services Compensation Scheme, which became LC&F’s main creditor after paying out about £172m in redress to bondholders that lost money in the company’s collapse.
