Martha H Thompson and Dermot Power of BDO LLP, Kings Wharf, 20-30 Kings Road, Reading, Berkshire, RG1 3EX were appointed Joint Liquidators of Farepak on 4 October 2007.
This follows the appointment of Martha H Thompson and Shagun Dubey of BDO LLP, Kings Wharf, 20-30 Kings Road, Reading, Berkshire, RG1 3EX as Joint Administrators over the assets and business of Farepak on 13 October 2006.
Dividend Payment to Creditors, Including Customers and Agents
Dividend cheques have now been issued and creditors, including agents and customers, will now begin receiving cheques through the post.
Further information about the Dividend Payment
When Farepak collapsed, there was no money in its bank account to pay to its creditors, which includes agents and customers.
As ordered by the Court and approved by Farepak’s creditors, including agents and customers, a Liquidation Committee was set up. This is a group of people who were owed money by Farepak and who represent all those who lost money as a result of the collapse of Farepak, including representatives of the agents and customers. As directed by the Liquidation Committee, the Joint Liquidators have been working throughout the course of the Liquidation to recover as much money as possible.
The Liquidation Committee asked the Liquidators to do certain work, including taking legal action, to try to get money for the benefit of Farepak’s creditors, including agents and customers. This work can take a long time but is now finished.
As a result of the work done by the Liquidators, enough money has been recovered to send you the dividend payment of 14.17p in the £.
In addition, the Liquidators have sent out an ex-gratia (voluntary) payment by Lloyds Banking Group of 21.48p in the £.
Below are answers to some questions you may have:I am expecting a cheque but I haven’t had it yet. What should I do?
If you submitted a claim which was agreed by the Joint Liquidators and are expecting to receive a cheque but have not received it by 31 October 2012, please contact the Claims Management Team at Claims Management Team, Farepak Food & Gifts Limited - In Liquidation, PO Box 3404, Swindon, SN2 9EQ.
What is the cheque that I have received?
The cheque is a final payment in relation to your claim in the Liquidation of Farepak.How much have I been paid?
You have been paid 35.65p for every £1 you were owed by Farepak. For example: • a customer or agent with a claim of £100 will receive £35.65; • a customer or agent with a claim of £500 will receive £178.25; and • a customer or agent with a claim of £1,000 will receive £356.50.
• a customer or agent with a claim of £100 will receive £35.65;
• a customer or agent with a claim of £500 will receive £178.25; and
• a customer or agent with a claim of £1,000 will receive £356.50.
The sum of money on the cheque you have been sent is made up of two parts:
• A payment, known as a dividend, of 14.17p in the £ from the Liquidation.
• An ex-gratia (voluntary) payment by Lloyds Banking Group of 21.48p in the £.Will I get any more money?
This payment represents all the money that is available to Farepak’s creditors, which includes agents and customers. You will not receive any further payments.How was my claim worked out?
Your claim was worked out from the forms you and your agent previously filled in and returned to the Liquidators, and from looking at the information that was in Farepak’s records at the time Farepak went into administration.
When added to the 17.5p in the £ given to customers and agents by the Farepak Response Fund charity, set up by the Department for Trade and Industry in 2006, the cheque means that customers and agents of Farepak will have received a total of 53.15p in the £.
If you made your payment to Farepak by credit card and have already received a refund from your credit card provider, you will not receive a cheque from the Liquidators. If you were among the small number of customers and agents who received some money back as part of the Trust Monies ruling in July 2009, the value of your cheque takes into account that you have already received some money back.I have a query about my cheque. What should I do?
If you have a query about your cheque, you should not cash your cheque and you should notify the Claims Management Team in writing as soon as possible at Claims Management Team, Farepak Food & Gifts Limited - In Liquidation, PO Box 3404, Swindon, SN2 9EQ. The Claims Management Team will look into the matter and if necessary the cheque will be cancelled, and a new cheque issued. Any new cheques will be issued at no cost to customers and agents.I have moved house. How can I make sure I will receive my cheque?
If you have changed your address since submitting your original claim but have not notified the Claims Management Team, you should register your change of address by sending details of your name, your agent’s number, the amount of your claim, your old address, your new address and your signature to Claims Management Team, Farepak Food & Gifts Limited – In Liquidation, PO Box 3404, Swindon, SN2 9EQ. The Claims Management Team is not able to deal with changes of address over the telephone or via email for security reasons.A Farepak agent/customer has died. What should I do?
In order for a new cheque to be sent to the agent’s or customer’s next of kin, please return the cheque and provide a copy of the death certificate. These should be sent to: Claims Management Team, Farepak Food & Gifts Limited - In Liquidation, PO Box 3404, Swindon, SN2 9EQ. We can then arrange for a replacement cheque to be sent to you.I have changed my name so cannot bank the cheque. What should I do?
Please send your cheque back and send us evidence of your change of name, for example a copy of a marriage certificate. These should be sent to: Claims Management Team, Farepak Food & Gifts Limited - In Liquidation, PO Box 3404, Swindon, SN2 9EQ. We can then arrange for a replacement cheque to be sent to you.A cheque has arrived for someone who no longer lives here, what should I do with the cheque?
If you have received a cheque that is not addressed to you, please return this to the Claims Management Team by writing “Not known at this address” on the envelope and putting this in a post box. There is no charge to do this.Can an agent or customer provide new details of their claim now?
The claims have now been finalised so it is not possible to provide new evidence now. If new claims are made now, we will not be able to pay them.How long do I have to bank my cheque?
You will need to bank your cheque within 6 months of the date on the cheque.I have read about a further 17.5p paid by the Farepak Response Fund in 2006, bringing the total paid to approximately 50p in the £. What is this?
Some vouchers and hampers were sent out by a charity called the Farepak Response Fund in 2006. The Joint Liquidators were not involved with this process and have no more information on it so cannot help further.
Summary of the Joint Liquidators’ receipts and payments
Report to Creditors