After Peverel(Firstport) collapsed into administration the idea was for Vincent Tchenguiz to buy the company back out of administration free of debts and carry on his merry way. When this could not be done, this spelt disaster for Tchenguiz as he relied on the "earnings" of Peverel/Firstport being passed to fund the loans secured against his overvalued property portfolio.
He immediately was forced to put his portfolio up for sale. The price he wanted was said to be £3.5 billion! When their were no takers, the banks moved in to manage an orderly sale.
Looking at the once mighty Fairhold (E&M) side of the business, Clifden an offshore company based in the Isle of Man have offered to purchase £420m of Fairhold debts at a discount of 60% and another £20m of debts at a 99% discount.
In addition to these debts a liability of £500m is due to an interest swap default.
If anyone wants to know as to why E&M are so aggressive in chasing money (even if they are not entitled to it) this is a reason why?
