The Joint Special Administrators (JSAs) of AFX Markets Ltd published some new information regarding the settlement of claims with clients of the now-defunct broker. The administrators have established that “in order to expedite the return of client money, to set a bar date of 17.00 hours (GMT) on June 1, 2020 (the “Client Money Bar Date”) for the submission of claims (“Client Money Claims”).”
As such, former clients of AFX Markets have until the indicated dates to file claims in an attempt to get a return of their monies, following the shut down of AFX operations last year. The administrators note that the claims in question only relate to client funds held at the brokerage and do not involve any other claims traders may have against the company.
The amount of funds in question is quite large, including:
- To date, 181 clients have submitted claims in the sum of GBP 5,381,750 and there are further 422 clients who have yet to submit claims.
- Even though the directors of AFX provided a list of “closed” client accounts, six clients on that list have submitted claims totaling GBP 468,183.
- There are 64 clients who do not appear on the Directors’ list of accounts. These clients are claiming to be owed GBP 4,910,138.
Regarding the money held by AFX Capital Markets in Cyprus, the administrators note that CySEC refuses to disclose information until the Cypriot regulator has completed its investigation. The administrators are in touch with the UK Financial Conduct Authority (FCA) to see whether it can encourage CySEC to provide information that will assist the administrators in their investigations.
There is currently a worldwide freezing order against the assets of AFX and attempts are being made to have that order lifted. A freezing order was obtained by a number of plaintiffs in Cyprus. The solicitors will seek to lift that freezing order.