On the 24 April the applications made by The Guernsey Financial Services Commission, under the Protection of Investors (Administration and Intervention) (Bailiwick of Guernsey) Ordinance, 2008 for the appointment of Administration Managers to Lancelot Management Limited and Trinity Global Fund were adjourned until the 1 May 2015.
During the interim period Mr Daryn Hutchinson a director of Lancelot Management Limited made application to the court, under Section 406 of The Companies (Guernsey) Law, 2008, for Lancelot Management Limited to be compulsorily wound up, and further to have Grant Thornton Limited appointed as liquidators. On 1st May 2015 The Bailiff, ordered that Lancelot Management Limited be compulsorily wound up pursuant to section 406 of the Companies Law.
Notwithstanding the interjection of the Liquidation application the Bailiff considered that the action of the Commission in bringing proceedings under the Administration and Intervention Ordinance was reasonable and ordered that the costs, charges and expenses incurred by the Commission as a consequence of it taking regulatory action are properly incurred in the compulsory winding up of Lancelot Management Limited and are payable from its assets in priority to all other claims pursuant to section 418 of the Companies Law.
The Court also ordered that the Company’s purported unilateral surrender on 21 April 2015 of the licence held by it pursuant to the Protection of Investors (Bailiwick of Guernsey) Law, 1987 (“POI Law”) was ineffective in law because the POI Law does not permit surrender of a licence granted to a licence holder. The Bailiff held that Lancelot Management Limited continues to hold a licence under the POI Law.
Matters pertaining to the Trinity Global Fund have been further adjourned until 7 May 2015.
The Commission continues to work closely with other regulatory partners and law enforcement authorities with regards to the global operation of companies linked to these matters, and investigations continue in that regard.