The liquidators of FlowBank Ltd. have released their second circular to creditors, providing important updates on the Swiss bank's bankruptcy proceedings. Here are the key developments:
Secured Deposits and Securities
The liquidation process has made significant progress in returning client funds. As of November 30, 2024, the liquidators have:
- Repaid secured deposits to 6,228 accounts, totaling CHF 49.7 million (91.3% of total secured deposits)
- Transferred or sold 27,981 lines of securities out of 39,640 total lines
- Successfully processed transactions for 4,376 customers out of 6,281 total customers
However, 2,609 customers have yet to claim their secured deposits, and the liquidators continue working to process these claims.
Asset Overview
The bank's assets as of October 31, 2024, amount to approximately CHF 360 million, following the payment of secured deposits and bankruptcy estate expenses. The liquidators are currently:
- Seeking a potential buyer for FlowBank's interests in London Capital Group Limited
- Managing the resolution of claims related to three paintings located in FlowBank's premises
- Processing approximately 497 supplier receivables worth over CHF 29 million
- Handling 22 claims from bond holders totaling about CHF 2.85 million
Operational Wind-Down
The bank maintains a reduced workforce of 56 employees and 3 external consultants to manage the liquidation process. The Zurich office lease has been terminated, and the liquidators are seeking new tenants for both the former and current Geneva premises.
Perspectives d'avenir
A significant milestone in the liquidation process will be the establishment of an electronic archive for the bank's data, with the decommissioning process expected to complete by June 30, 2025. The liquidators are currently evaluating service providers to manage this data for the required 10-year retention period.
Creditors can expect further updates as the liquidation process continues, with a first version of the claims list to be submitted for consultation soon.
Note: This update is based on the official circular to creditors dated December 6, 2024. Affected parties should consult the official communications from the liquidators for complete information.