SVS Securities - shut down?

dur77

Thanks Masonic
That's helpful to know
Presumably if for any reason they are unable to determine client accounts due to mishandling or any kind of inappropriate actions, there would then be protection for loss upto £85k each for himself and wife...but what evidence would FCA need to have to make a claim for that? Bank statement transactions to SVS?

masonic

dur77 wrote: »

Presumably if for any reason they are unable to determine client accounts due to mishandling or any kind of inappropriate actions, there would then be protection for loss upto £85k each for himself and wife...but what evidence would FCA need to have to make a claim for that? Bank statement transactions to SVS?

Such a scenario is highly unlikely, and the administrators would go to great lengths and costs to reconstruct the necessary records through forensic accounting.

If all of that failed, then it would be a likely conclusion that the investments people believed that they held were in fact a fiction. You would likely be correct: they would take a step back and analyse the bank records of the account(s) used to send/receive money and records of deposited share certificates, etc in order to construct a total creditor claim value for each "investor" and put all realisations into a single pot to distribute between creditors (after their fees were paid of course), with a top-up of up to £85k from the FSCS.

johnburman

The issue for most clients - and all SVSXO clients - is "are the client assets ringfenced". How do you get the Special Administrators to give an *early indication* of this?

And has anybody had any *useful* information from Leonard Curtis, other than 'everything is frozen'?

Charliebradley

Hi all got quiet a bit of money tied up in this , what’s unclear to me have our stocks been sold at the time of date svs went in to administration or are they still live and we just can’t get to them ?

Alexland

Your investment assets should still be safe and held in accounts which are separate to the business assets.

Chasweekly

Reading Annex B of the First Supervisory Notice point 2 states in relation to the Voluntary requirements imposed on SVS on 26 July 2019 that with immediate effect:
"SVS will not accept any new client money or new custody assets, whether from existing or new clients"

As mentioned before I actioned a payment of £600 to my SVS dealing account on 5 Aug at 18.28, which did not bounce. - This is a FULL 6 BUSINESS DAYS after this requirement was imposed.

I'd like to make one observation:

Given my payment went into my SVS account on 5 Aug 18.28, this is a flagrant disregard of the FCA imposition. Surely it would have been a simple matter for them to instruct their bankers to refuse any payments (they had 6 days !!!!!!). It is very worrying to consider what other types of breaches were made of this imposition.

I'd also like to request a clarification on this remark from Masonic on the topic of SVS accepting payments after administration:

masonic wrote: »

In fairness, that's a very impractical requirement, given customers already had SVS's bank details. They certainly didn't get them from the website or by calling SVS as the shutters had been pulled down by that time.

While I agree obviously we as customers already had SVS bank details, why did SVS not instruct their bankers in compliance with the FCA imposition?

manted

Hi All,
Just to inform - I have received the same letter that Leonard Curtis have posted on the administration website in paper form via Royal Mail today.
There's no new information in the said letter.
It doesn't even mention my account details.

My2penneth

manted wrote: »

Hi All,
Just to inform - I have received the same letter that Leonard Curtis have posted on the administration website in paper form via Royal Mail today.
There's no new information in the said letter.
It doesn't even mention my account details.

I suppose it is good news that we received four letters today. Me and Mrs My2Penneth both hold non ISA and ISA Accounts..

masonic

Chasweekly wrote: »

While I agree obviously we as customers already had SVS bank details, why did SVS not instruct their bankers in compliance with the FCA imposition?

My post was in relation to point 1.9 of the supervisory notice dated 2nd August. We know that by that time the company had in effect ceased trading and staff were let go in the morning. So it is unlikely there would have been anyone available to "instruct their bankers" not to accept further deposits into their receiving account, assuming their bank would provide such a service.

However, you've identified an earlier agreement not to accept deposits from a week earlier. It's clear no effort was made to comply with this.

johnburman

I can beat you - FIVE (our joint account too) Oh !!!!!! that means we are in it big time!