RE: Latest Bdo info21 Aug 2016 11:11
Item 8 Prospect for creditors.... Reads
Under Section 176A of the Insolvency Act 1986, where after 15 September 2003 a company has granted to a creditor a floating charge a proportion of the net property of the company must be made available purely for the unsecured creditors. The Company has not granted a floating charge to any creditor after 15 September 2003 and consequently there will be no prescribed part in this administration. Except to the extent that the Company is successful in obtaining a partial annulment of the arbitration decision and subsequently obtains a significantly larger award in a further arbitration, there is no prospect of funds becoming available for distribution to the Company’s preferential and unsecured creditors, or shareholders.
The last sentence states " there is no prospect of funds becoming available to unsecured creditors or share holders"
Is that legal or am I reading it wrong?