Registrar-General meets creditors of defunct Fund Management Companies tomorrow

The Registrar-General’s Department has announced that it will hold a virtual first creditors meeting with creditors of the 53 defunct fund management companies.

The meeting, slated for 11 March 2021, will be followed by a virtual class meeting which will be held on March 12, 2021 from 9:00 am to 11:00 am for investors of fund management companies only, a statement issued by the Registrar-General’s Department indicated.

In accordance with Section 122 (2) (b) of the Securities Industry Act 2016, (Act 929) (SIA), the Securities and Exchange Commission (SEC) revoked the licenses of 53 Fund Management Companies (FMCs) in 2019.

An order was given for the official winding up of the companies, pursuant to applications by the Registrar of Companies.

According to the SEC, the affected companies failed to return client funds which remained locked-up in contravention of the investment rules.