Asset Life plc update: both underlying investments blank administrators

The adinistrators of Asset Life plc, which collapsed in August 2019 owing £8 million to bond investors, have released their latest update.

Unfortunately there’s not much to report as both of the investments that constitute what is left of Asset Life plc have gone dark on the administrators. Prospects for recoveries from either still look bleak.

We have not identified a realisation strategy for the Company’s investments in Aprelskoe Limited and Lori Iron and Steel Limited that would result in a tangible return to the Company’s debenture holders. Aprelskoe’s two remaining UK-based directors resigned on 5 December 2019 and the company has not responded to any communication from the Joint Administrators. A new Moscow-based director, Mr Sergei Bezborodov, was appointed on 6 July 2020.

[…] Lori has not responded to any communication from the Joint Administrators.

Little is disclosed regarding either the “potential alternative avenues for recovery” being explored by the administrators and their lawyers, or in respect of the insurance policy that supposedly covered Series C bondholders.

In the six months to July 2020, £592 was recovered from a residual balance owed by Keystone Law, plus £7 in interest. Time costs incurred by the administrators over the same period amounted to £21,360.

8 thoughts on “Asset Life plc update: both underlying investments blank administrators

  1. I had a quick look at Lori Iron & Steel on the Companies House website and to me it makes no sense whatsoever.

    They allotted £277,500,000 of shares on 26/6/2019 having filed accounts for a dormant company with £1 share capital 3 months earlier.

    Also 4 shareholders appear to be Directors of Asset LIfe PLC – the same names.

    I look around the Companies House website a fair bit for due diligence and see some odd stuff but this is extremely peculiar.

    Then I looked briefly at Aprelskoe and noticed a large number of shareholders who were also shareholders in Lori Iron.

    I have no idea what is going on and I have some experience in digging dirt.

  2. Is three any forum – or medium through which holders of the Asset Life product can link to each other and possibly develop a strategy to form a joint, collective presentation [complaint] to the authorities…
    I know we have probably seen the last fo the money but group consultation and discussion might be cathartic – if thing else? I hop you can help…
    Pete woods

  3. D Woods – I would not be surprised in Lori Iron & Steel and Aprelskoe were sham companies used for skimming off Asset Life bondholders’ funds. It would be illuminating to find out exactly how much money Asset Life transferred to these companies in consideration for shares.

    Asset Life looks very much like a follow on from the Anglo Wealth fraud and there needs to be some digging into whether funds raised by Asset Life were used to repay Anglo Wealth investors.

    Really needs law enforcement involved as administrators do not have the power or resources to follow the money.

  4. Pete Woods, you could setup a Facebook group for that. There are various groups for Blackmore and LCF bondholders so it’s a known avenue. There may even already be one existing

  5. Hello I’d like to reach out to others who have been impacted by this, is there a support group or does anyone want to connect over this. ?
    Its shocking that this conduct is allowed to happen.

  6. There is not a doubt in my mind that the money from Asset Life was used to pay off the Anglo Wealth debt and hence keep the perpetrators of the “elegantly packaged scam” out of jail.

  7. @Jo – I agree. I hear the transcript of the Anglo Wealth fraud trial is enlightening if you can get hold of it. As is this SDT report which covers the solicitor who ‘helped’ Anglo Wealth and Asset Life:

    There are also interesting connections to London Capital & Finance.

    Anyone who invested through AMYMA Limited, FCA FRN: 812731 and / or Equity for Growth (Securities) Ltd FCA FRN: 475953 could well have a FOS / FSCS claim

    I am happy to help anyone in that boat have a crack at it.

  8. V. Interesting, thanks Mark.
    Previously I had only seen the judges summing up of the criminal case saying that the monies had gone to maintaining the defendants lifestyles and not any investments. And now we can see how that could have been facilitated. One can only hope there is a second case re Asset Life where they will have no ability to rob Peter to pay Paul and hence receive their overdue comeuppance.

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