Fairfield Sentry claims refused by the Privy Council
On 16 April 2014, the Judicial Committee of the Privy Counsel handed down its decision in the trial of certain preliminary issues in Fairfield Sentry Ltd (in Liquidation) v Migani and Others.
Fairfield Sentry (in liquidation) (the fund) was a BVI company and was the largest of a number of feeder funds that invested in the now infamous Bernard L Madoff Investment Securities (BLMIS). As is now well known, BLMIS was a Ponzi scheme, possibly the largest in history, and returns to investors were fictitious. Between 1997 and 2008, approximately 95 per cent of the fund’s assets (totalling $7.2bn, or £4.3bn) were invested in BLMIS. Members of the fund subscribed for shares in the fund and were entitled to redeem their shares at a price dependent on the fund’s net asset value per share (NAV). The fund subsequently increased or reduced its investment in BLMIS by the amount of subscriptions or redemptions by its own investors.
On 18 December, the directors of the fund suspended the fund’s NAV, stopping any future redemption of its shares. The fund was placed into liquidation by the High Court of the Virgin Islands on 21 July 2009…
Click on the link below to read the rest of the Mourant Ozannes briefing.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.