The administration of E-Clear this morning has raised furious questions about where tens of millions of pounds of its clients’ money has gone.
Globespan administrator Ian Oakley-Smith of PricewaterhouseCoopers said: “We are truly disappointed at the disclosure of available money that is in the company, but satisfied that the right course of action is now underway, and we will obviously be in close contact with the administrators of E-Clear as they start their investigation.”
The big question now is what has happened to Globespan and other creditors’ money.
Asked if the authorities should now launch an investigation Oakley-Smith said: “That is obviously a matter for the authorities, but clearly there are a number of questions that need to be answered; first and foremost where is the money?”
No one from E-Clear was in court this morning and the administration was not opposed.
Representing German credit card processing firm Pago, which administered E-Clear payments and is half owned by Deutsche Bank, Mr Sheldon said: “The company disputed the evidence supplied by Elias Elia.”
He said the company therefore supported the application for administration.
It appears Pago was surprised about how little money E-Clear has and was continuing to pay out to Globespan customers via E-Clear after the Scottish operator failed on December 15.
Mr Sheldon said: “When Mr Elia refers to negotiation with Pago for the late filing of evidence, that is not accepted by Dr Markus Weber, the managing director of Pago.”
The E-Clear administrator BDO LLP will continue to trade E-Clear and will be launching an investigation to find the missing monies.
– Follow the E-Clear story at travelweekly.co.uk/eclear