Latest Updates On High Street Group (HSG)

HIGH STREET GRP LIMITED – In Administration
Joint Administrators Proposals
Issued on: 9 February 2022
Delivered to creditors on: 10 February 2022

View administration proposal here

Are you a loan note holder who is owed money by High Street Commercial Finance Ltd (HSCF) or its parent company High Street GRP Ltd (HSG)?

If so, you should join debt recovery and insolvency specialists Insolvency & Law to secure your free and expert representation in the statutory insolvency proceedings of the above companies.

Insolvency & Law will be your authorised representative to maximise the return of your current loss from the above insolvent companies.

Furthermore, legal proceedings against certain third parties responsible for your current loss is on the way. This action is separate to the insolvency of the above companies.

In the last five years alone, Insolvency & Law has been engaged in the recovery of more than £40m for investors just like you.

To receive representation please click the button below called 'Click Here For Consent Form' and complete and digitally sign the form.

• High Street GRP has over 1,500 retail investors. Many are vulnerable because of age, health, absent professional advice and a lack of requisite experience

• Over 2,500 investment transactions were undertaken by the 1,500+ retail investors

• A total of £118m was poured into the Company by retail investors prior to its collapse

• Over £50m in property assets (land and buildings) is said to have been transferred from the Company to Hadrian Real Estate Plc without any payment of funds

• This transfer of assets was undertaken at a time when the Company was seriously insolvent and therefore in breach of Insolvency law, which was detrimental to creditors' interests

• Although the initial period of the statutory insolvency is 12 months, the process may take years to complete and provide creditors with little or no return

The Company

The Administrators report should address the business of the Company in terms of how it traded and raised funds from investors. The report should attempt to explain when the Company ran into trading difficulties and started to default on its obligations, particularly to investors.

The Report 

It is well known the Company has been trading while insolvent since the middle of 2018. The Administrators report should disclose this and we must wait and see to what extent. What we do know is those who invested in the Company beyond the time when it became insolvent were unduly exposed to unnecessary risk that could have been easily avoided.

The Proposal

The Administrator's proposal should disclose how they intend to realise the Company’s assets for the benefit its creditors. But we all know the Company has next to no realisable assets unless it looks towards its subsidiaries and HRE, which could be problematic for both. So where else can asset realisations come from to pay creditors?

Recovery Plan

The Administrators’ proposals will disclose if they have bought into the recovery plan promoted by management and the Investor Committee, or pursued an alternative course.

Investigations    

If the Administrators do not receive the required cooperation from the Company’s former management in regards to movement of the Company’s assets, the investigation to recover such assets will undoubtedly become lengthy, contentious, and costly. Important question: will there be available funds in the Administration to fund investigations that will inevitably costs hundreds and thousands of pounds, and could quite easily exceed £1m?

 

What Next?

Creditors must await the Administrators’ report and proposals for the Company, and carefully consider its content.

If creditors want a representative to act on their behalf, they will receive proxy and proof of debt forms to complete. Creditors will also be invited to establish a creditors’ committee, which is created and governed by the Administrators. However, it is still an effective forum to assert creditors interest.

We understand a significant body of creditors will not engage with this insolvency process due to being either busy, insufficiently informed, disinterested, or some other reason. However, if creditors want to improve their prospects, they must act together as a single majority and not a minority or alone.  The insolvency process is an alien concept to most people and creditors are no exception.

We understand the insolvency process very well and use it to benefit creditors’ interests. Let us do the same for you too.

Our creditor representation service is offered to you without any fee obligation on your part.  We will never charge you for this service. We have a common goal.

If you have not already done so, simply complete and return to us the following:

1. Letter of Authority
2. Proof of Debt form
3. Proxy

We will keep you informed of our progress at all times.

 

Consent, investigations and questionnaire

To fully understand the failure of High Street GRP (HSG), High Street Commercial Finance (HSCF) and other connected companies, Insolvency & Law has:

1. Made available a questionnaire to gather evidence and other material information from loan note holders
2. Launched ongoing investigations to establish which third parties are collectively responsible for losses suffered by lone note holders

Our questionnaire and investigations into HSG and the company's connected companies (including HSCF) will help to identify which third parties who contributed to your loss of funds as they may be held accountable and ordered by a court to return the full value of your loss plus costs incurred.

We will report our findings and loan note holders who want to recover substantial funds will be invited to join us in the legal proceedings.

In the last five years alone, Insolvency & Law has been engaged in the recovery of more than £40m for investors just like you.

Debt recovery specialists

Complete the consent form below to join the proceedings and appoint Insolvency & Law as authorised representatives to act on your behalf:

In 2021, Insolvency & Law became a creditor of a HSG subsidiary company (HSCF).

We successfully petitioned the Court for HSCF to be wound up in December 2021 and the company was placed into compulsory liquidation in February 2022.

In August 2022, Insolvency & Law's nominated liquidators were appointed over the company to take charge of its affairs, including investigations and the realisation of assets.

 

Strength in numbers

To help recover losses suffered by HSG and HSCF loan note holders, Insolvency & Law:

• Galvanises HSG and HSCF loan note holders
• Plays an active role on the HSG creditors' committee

In these situations, loan note holders have more power than they realise. But they must unite and join forces with other creditors because this is the best way to:

1. Improve recovery and dividend prospects
2. Gain greater control over the insolvency process

However, loan note holders must act swiftly, or they will miss the opportunity to maximise their leverage.

It is possible that HSCF may have been used as a treasury account for several companies connected to HSG (including HSG and HRE). To join our campaign, click the button below called 'Click Here For Consent Form' and complete and digitally sign the form.