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Mortgage Times directors expect substantial returns for secured creditors

The administrators of The Mortgage Times Group say the directors of the network anticipate substantial returns to secured creditors.

Insolvency firm Kelmanons Costa Business Solutions was appointed as administers to The Mortgage Times Group on Tuesday, Mortgage Strategy can reveal.

John Kelmanson, managing partner at Kelmansons, says the secured creditors are the priority, but other creditors including appointed representatives could also be paid something.

He says it is too early to put a figure on how much is owed, but says: “The directors anticipate a substantial return for secured creditors, and if we are able to maximise returns from the assets of the business hopefully all creditors will receive something.”

The firm is currently gathering information and writing to all creditors, which he says will take a few weeks.

It says it is considering all options, one of which is selling parts of the business to interested parties.

Kelmason says: “There’s a lot of people in the industry that are interested.”

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  • Brian Marks 4th January 2011 at 1:26 pm

    Intersting to see that today one of my clients has sent me letter they’ve received from Phoenix Independent Advisers who have acquired my clients details from the administrators. Phoenix have written to them suggesting a mortgage review as I ma no longer be authorised. This is despite me marking all of my clients “non marketable” when MTG ceased trading.
    Other AR’s may want to check this situation.

  • Anon 20th May 2010 at 2:02 pm

    The directors knew the business was no longer capable of meeting their debts as they fell due. That is why they switched their home addresses from the official record over a months before they ceased trading.

    They announced they could no longer trade just before Christmas and said they had gone into administration. However that was untrue and was designed to buy a little more time for the directors to get a return on their own investments at the expense of everyone else.

    Eventually the court forced them to apply for administration. They benefited from that lie and I have paperwork to show they benefited from several others.

    Since the collapse they’ve been difficult to track. Difficult but not impossible.

    Just so nobody is in any doubt about how silly the idea that they’ve suffered awfully from the collapse of the business – they’ve been on holidays to St Anton and the Turks and Caicos Islands. Does that sound like hardship to you?

  • Anonymous 17th May 2010 at 1:57 am

    FRANK JURGA THE SO CALLED MORTGAGE GENIUS CONMAN WAS MADE BANKRUPT ON 18 SEPTEMBER 2009…SWINDON COUNTY COURT 0000913

  • Tom Evans 16th March 2010 at 1:03 pm

    Nobody believes there will be significant sums paid out to the creditors – not even the directors.

    The directors will also be creditors (eg in respect of loans they made to the company) and therefore will line up alongside other creditors. However I’ve heard on the grapevine that one or two have recently re-entered the offices and taken a couple of filing cabinets away. To me, that doesn’t suggest they think they will get what they want from the administrator.

  • compliance man 24th February 2010 at 12:22 pm

    I know Frank Jurga has a history of ranting on but can a network please take him on……..in an attempt to give him something else to concentrate on and distract him from his constant verbal diarrhoea.

  • Andrew 23rd February 2010 at 9:34 pm

    You no longer work for MT yet you are still lying for them!

    Well I am an ex AR who is owed over £10k by MT and the Directors and employees didnt lose enough as far as I am concerned!

    I hope all future ventures will fail

  • james beaty 23rd February 2010 at 12:45 pm

    i am an ex employee,i wish the Directors at MT all the best i am informed they had signed personal PG,s and put there own money into the business to try and make it work.Alot of AR,s seem that are commenting above owe MT money,funny its always the way.

  • narvinder singh 22nd February 2010 at 2:30 pm

    Directors were a bunch of con-men

  • Mike Wells 22nd February 2010 at 9:26 am

    just hope that a claims mitigation company called capital returns does not get hold of the data. i used to work for a subprime mortgage broker that no longer exists and the aforementioned have managed to obtain sensitive data and have done nothing short of lie to and manipulate people into shelling out a grand on the hope that they may get something back. in the process of doing this they have destroyed reputations. in fact i believe that they have spun so much rubbish that the ministry of justice have a dedicated complaints dept just for them.

  • Salil Chaudhari 21st February 2010 at 1:32 pm

    I bet the Insolvency firm COSTA lot of money.

  • simon bucknell 19th February 2010 at 6:59 pm

    it’s well known fact that on the day they made the announcement (ie no longer trading) they asked ALL the advisers at Mortgage Minds (Mortgage Times very own AR) to go with them to a new venture !!!!

    So no, don’t hold your breath for anything positive to come out of this debacle…..

  • Another Ex Employee 19th February 2010 at 6:59 pm

    What assets? Rubbish.

  • anonymous 19th February 2010 at 6:50 pm

    good luck to them trying to rebroke my clients. ive already spoken to all of my clients and told them that The Mortgage Times might be trying to sell their details on to the highest bidder and any approach made by anyone other than myself could be as a result of a breach of the data protection act and to notify me as soon as possible. This should help any business in the long run as the customer will see that you are looking after them properly so I would urge any brokers out there to do the same if they have not already done so.

  • Ex Employee 19th February 2010 at 6:45 pm

    I have missed something, sell what?

  • Frank Jurga 19th February 2010 at 6:03 pm

    Pheonix will get the client bank and then have the ‘right’ to write to everyone of our clients.

  • Frank Jurga 19th February 2010 at 5:59 pm

    I’ve had to check my diary to make sure that it’s not April Fool’s day! Any AR who thinks that they are going to get any money out of this is certainly a fool. I expect administrator fees alone will be well in excess of £200,000. A substantial amount for secured creditors can only be a maximum of 100% of the debt and, since I don’t see them getting 100% based on their last set of accounts, ARs will get nowt. The estate of a network I was with previously is still not settled after 3 and a half years so I won’t be bothering to claim anything from MT. We all gotta move on. I was hoping the press release in Jan re the FSA’s involvement would be the end of the gossip but I suppose we have to put with all of the c**p that will come out from the administrators’ investigations.

  • Toddy 19th February 2010 at 5:48 pm

    AR’s should have been treated as ‘staff’ and been paid first. Any other creditors should have been regarded as Risk takers and repaid on that basis.

    I trust that if FSA cannot get rid of Independent advisers by other means, this way will work very well.

  • M 19th February 2010 at 5:42 pm

    “All creditors will receive something”…i very much doubt it!

  • Mark Finnegan 19th February 2010 at 5:40 pm

    Kelmason says: “There’s a lot of people in the industry that are interested.”

    What’s the betting a firm called Phoenix MT Ltd will jump in and nick everyone’s commissions… just like they did with Network Data???