Administration Orders - Letters of Request to the UK Court

In the matter of the representation of Anglo Irish Asset Finance [2010] JRC087

This is the latest decision of the Royal Court in relation to an application by a UK creditor (a bank) for a letter of request to be issued to the English High Court requesting that an administration order be made in respect of a Jersey company.

The company had defaulted on lending in excess of £30m from the applicant bank. The bank had appointed receivers in respect of the property of the company. The receivers had ensured completion of the development of that property (being the project for which the bank had leant the funds). However, the company remained unable to pay its debts and was also insolvent on the balance sheet test. Accordingly, the bank wished to apply for the appointment of administrators in England, the company's property being located in London.