Walker Crips Regulatory News (WCW)

25 Jul 2005 11:00

Walker,Crips,Weddle,Beck PLC25 July 2005 Walker, Crips, Weddle, Beck PLC Legal Proceedings Walker, Crips, Weddle, Beck Plc ("WCWB") advises that its subsidiary, WalkerCrips Stockbrokers Limited, will be commencing legal proceedings against twoclients for settlement of certain unauthorised and partially collateralisedsecurities transactions. The Company is, with its lawyers, also investigatingthe nature of the transactions themselves. However, until the results of litigation are known, the Board feels it prudentto implement a provision of £2.5 million to guard against failure to recover thedebt in full. The extent to which any losses arising may be covered by insuranceis also being reviewed. In spite of this exceptional provision, the Board is of the opinion that theGroup's financial resources remain in a satisfactory position. Furthermore,leaving aside the above provision, the general activities of the stockbrokingdivision are, as anticipated, well ahead of the previous year - the AssetManagement and Pension Divisions are making predicted good progress. The Board recognises fully its obligation to keep shareholders and theregulatory authorities informed of further significant developments. 25 July 2005 This information is provided by RNS The company news service from the London Stock Exchange