KPMG, the joint special administrators of now-defunct retail FX broker Alpari UK, has provided an update on distributions of client funds to former Alpari UK clients by the Financial Services Compensation Scheme (FSCS). The good news is that the payments are starting from today – May 14, 2015.
Alpari UK clients had the right to keep their claims with KPMG, or to transfer to them to the FSCS. The majority of clients, as we understand it, decided to assign to FSCS. And it looks like those clients will be getting their money back first.
When FSCS have confirmed which clients should have received compensation payments, those clients will get an email to their registered trading email address from KPMG informing them that a compensation payment has been made. It is expected that this email will be sent by 20 May 2015 to all clients who have been paid compensation in the first tranche.
Some clients, unfortunately, will not get their funds back in the first tranche, KPMG noted. This is because of the great number of checks that have to be performed to ensure that a client can be paid, including confirmation of personal and bank account details.
The special administrators from KPMG and FSCS are working through these as quickly as possible and if any further information is required from individual clients, the JSAs or FSCS will be in touch. If no further information is required, it is planned that those clients will be paid in the following tranche of compensation payments.
Note that KPMG has earlier stated that it will start making payments to Alpari UK clients not earlier than June 2015.
To view the official announcement on FSCS payments, click here.