Arch Cru fund suspensions lifted

The Channel Islands Stock Exchange has this morning lifted its trading suspension on the Arch Cru sub-funds, after administrators expressed fury at the move.

The companies and directors brought in to liquidate the failed investment company were furious when trading on its sub-funds was suspended last week.

Sources said the move had derailed talks to sell off the assets of five of the funds, which were expected to raise as much as £18m to return to Arch Cru investors.
The suspensions also made it impossible to conduct sale talks on the other six, they said. (article continues below)

Ernst & Young issued a report and accounts for the year to March 30 2010 for the sub-funds on September 30, but qualified that it could not be confident of previous work carried out for year to March 30 2009. This triggered alarm bells at the CISX.

Capita, the funds’ authorised corporate director, had insisted that work was being done to lift the suspensions.