Hope for Dylan Harvey claimants
A LAW firm pursuing the troubled property company Dylan Harvey Group says it does not expect the collapse of subsidiary Dylan Harvey Residential to affect its action.
Pannone, which is representing 70 investors, also believes that individuals with a claim against the residential business, which was placed into administration yesterday with contingent liabilities of up to £100m, may still be able to proceed, depending on when they invested.
Solicitor Sean Hackett explained: “A key date is the October 24, 2007 when the company, then called Dylan Harvey Residential, changed its name to Dylan Harvey Investments.
“On the same day the company known as Dylan Harvey Developments changed its name to Dylan Harvey Residential. Effectively it is this latter company (the one called Dylan Harvey Residential Ltd after October 2007) which has gone into administration.
“Therefore anyone who paid monies to Dylan Harvey Residential Ltd before October 24, 2007 may have a claim to recover their money.”
Pannone’s head of corporate recovery Richard Glithero met the administrators of the business this morning to discuss their plan to propose a Creditors Voluntary Arrangement.
Pannone believes that the group of investors it is representing will have enough voting power to decide the outcome of the CVA.
The firm said in a statement: “The administrators have confirmed that they are considering putting forward a CVA in the coming weeks.
“This may involve depositors being asked to transfer their deposits to other developments with which Dylan Harvey Group is involved. Pannone will advise its clients on the advisability of agreeing to the terms of the CVA once the full terms are known.
“It is likely that the group of clients represented by Pannone will have sufficient voting strength to decide whether or not the CVA should be accepted, or different terms agreed.”
