Provisional Liquidators to Stanford Development Company (“SDC”) Explain Provisional Liquidation Process

Marcus Wide of Grant Thornton (British Virgin Islands) Limited and Hordley Forbes of Forbes and Associates (Antigua) were appointed as Provisional Liquidators of SDC. Within that role, they have taken over the company and are duty-bound to preserve its assets. Further, until further notice, SDC’s former directors’ powers are withdrawn and there is a stay of proceedings in place as to any actions that may be commenced against SDC without a court order.

The next step is likely the resolution of an application to wind up SDC. Though the result is not known, in most instances, the company will transition from provisional liquidation to liquidation at which point a liquidator(s) will be appointed. The role of the liquidators will be to wind up the company and settle all debts.

In the interim, the Provisional Liquidators continue to confer with creditors, the Antiguan government and other interested parties to bring a speedy resolution to SDC’s provisional liquidation by, among other things, paying creditors and getting SDC’s books and records in order. Notably, since a provisional liquidation does not involve a claims process, there is no need to submit a claim at this time.

For further information related to SDC, please see the SDC tab at www.sibliquidation.com for information posted by the Provisional Liquidators.

For a full and open debate on the Stanford Receivership visit the Stanford International Victims Group - SIVG official forum http://sivg.org/forum/

SDC workers picket over non-payment of wages

ST JOHN’S, Antigua – There’s very little end in sight for unpaid striking workers of Stanford Development Company (SDC) as neither SDC’s former directors nor the liquidators of Allen Stanford’s empire in Antigua are able to say when they will receive their monies.

      The 65 workers reported they have not received wages and salaries since January 15. They said their former bosses, Barbara Streete and Andrea Stoelker, can no longer pay staff since a court ruled the two were not properly appointed as directors of the company.

      The duo had appealed the ruling and applied for a stay of execution (a hold on enforcement of the judgment). The appeal is set for a date two months from now, but the application for a stay was recently rejected, workers confirmed.

      Staff had hoped the liquidators of most of Stanford’s assets here could help, but liquidator of Stanford International Bank (SIB) Marcus Wide told OBSERVER media last night he can offer no relief.

      “As of now we have no authority over SDC and while we are very sympathetic to their situation, regretfully, we cannot assist the employees,” Wide said.

      Wide said SIB was not responsible for the removal of the directors or freezing of their bank accounts.

      Up to yesterday, Wide said he was unaware the workers had not been paid since January and further that they had begun protesting.

      Affected workers are car park attendants, landscapers, maintenance crew and security at SDC properties.

      Efforts to reach the former directors were unsuccessful.

For a full and open debate on the Stanford Receivership visit the Stanford International Victims Group - SIVG official forum http://sivg.org/forum/

Accountant appointed to investigate Stanford companies

Accountant appointed to investigate Stanford companies
By Tahna Weston - Tuesday, April 2nd, 2013.


ST JOHN’S, Antigua – An accountant has been appointed to look into the business affairs of companies of former financier R Allen Stanford.

Hordley Forbes of Forbes & Associates, Chartered Accountants, will conduct investigations into Stanford Development Company (SDC) Ltd and three other affiliated companies who are registered owners of property in Antigua.

Attorney General Justin Simon QC on March 5 obtained a court order for the investigation.

Forbes has been empowered to enter into SDC’s owned or operated properties to demand and examine books, documents, correspondence, contracts, corporate and accounting records.

He will also be seeking the co-operation of directors, managers, former directors, accountants, and legal counsel, all of whom are under an injunction not to interfere with or prevent the inspector from conducting his investigation.

“The application was filed in October 2012 on a number of grounds including that SDC and the other companies may have been formed and managed for a fraudulent and unlawful purpose and in particular to defraud customers of Stanford International Bank. That its obligation to pay severance to ex-employees remains outstanding despite disposition of real property, and the management of the company is questionable with the sole shareholder and director having been sentenced to 108 years imprisonment for massive fraud.

“The investigator is to report back to the court within 30 days of his appointment. The order was served on the registered office of the companies and personally on Barbara Streete and Andrea Stoelker with a Penal Notice attached,” Simon told OBSERVER media.

In January this year, SDC applied to the High Court for leave to file a claim against the Registrar of Companies for her refusal to accept and file documents, which seek to appoint Barbara Streete, a director and to amend the company’s Articles of Association to allow persons who do not hold shares in the company to be appointed directors.

The registrar was reportedly not satisfied with the authenticity of the documents presented. The application was heard on February 28 and decision has been reserved.

Following the filing of that case in June 2010, Andrea Stoelker resigned as director in August 2010, and obtained a power of attorney from R Allen Stanford, which he subsequently revoked.

SDC in September 2012 filed an application against Stanford International Bank Ltd. (SIBL), which is in liquidation.

The High Court ruled on January 21, 2013, that Barbara Streete and Hugh Marshall Jr lacked the authority to conduct affairs on behalf of SDC.

It was also found during the ruling that the company “has no properly constituted Board of Directors and as such it has no legal capacity to conduct the business of SDC”, and that “Ms Barbara Streete is not a director of SDC and should cease holding herself out as such.”

That decision is being appealed by SDC.

(More in today’s Daily OBSERVER)

For a full and open debate on the Stanford Receivership visit the Stanford International Victims Group - SIVG official forum http://sivg.org/forum/