Silverbird enters special administration

The company will enter special administration on March 13 under the Payments and Electronic Money Insolvency Regulations 2021. This is similar to regular administration, but the aim is to repay customer funds as quickly as possible.

Silverbird noted that customers will not have access to their funds while the work is ongoing.

Daniel Conway and Geoff Rowley from FRP Advisory Trading have been appointed as Joint Special Administrators (JSAs).

On its website, Silverbird states: “Limited information is available at this early stage of the special administration. Our first actions will be to secure the company’s assets, including securing all client protected funds. While every effort is made to return funds to customers as quickly as possible, JSAs must first ensure control of all relevant information, reconcile balances and ensure that the necessary due diligence is carried out and you are aware that your customer information is present and are current and correct.”

The appointed JSAs will submit a report to creditors within eight weeks.

The FCA says that Silverbird direct customers should contact the JSAs if they believe they are owed money or have any questions.

The filing states that some Currencycloud customers will be affected due to their previous partnership, as will Silverbird.

When reached for comment, Currenycloud told Finextra that it was aware of the filing and was working directly with customers affected by it to ensure they continued to have access to their funds.