The Financial Services Compensation Scheme is preparing to makes final compensation payments to investors affected by Arch Cru.
A statement explained Capita Financial Managers has recently made the tenth capital distribution to investors resulting from the wind up of the CF Arch Cru funds.
The wind-up of funds was due to take place in 2015 but did not happen, meaning the FSCS could not make the final top-up payments.
“Once Capita Financial Managers has confirmed there are no further distributions, FSCS will make the final compensation payments to affected investors,” read the latest update.
Since 2012, the FSCS has paid more than £58m in compensation to CF Arch Cru claims. Up until 2013 this was paid on an interim basis, with planned top-up payments once the CF Arch Cru funds crystallised.
The CF Arch Cru funds represent two Oeics, both of which are umbrella companies for six sub-funds. The sub-funds were substantially invested in a combination of 21 cell companies incorporated in Guernsey, which were in turn invested in various assets.
Shares in the two Oeics were typically sold to investors through IFAs, though some CF Arch Cru investments were sold as direct investments, while others are held via third party providers.
In March 2009 the Financial Services Authority suspended the funds on the grounds of insufficient liquidity to meet redemptions.
At the time of suspension, the net asset value of the Arch Cru funds was approximately £362.7m.
In 2011 the FSA announced a £54m redress package for investors.
In its most recent results, published in February, Capita said it spent £21.7m handling the Arch Cru and Connaught cases over 2015.
