THE liquidator of Taylor Asset Managers (TAM) is expected to ask the High Court on Monday to approve the sale of the company's goodwill to BCP Stockbrokers.
TAM was put into liquidation after its managing director, Mr Tony Taylor, disappeared in August with clients' funds, said to be upwards of £2 million.
The liquidator, Mr Paddy McSwiney, whose appointment was sought originally by the Department of Enterprise and Employment, is expected to ask the High Court to approve the deal, but the price agreed will not be disclosed. It is understood that if the court approves the proposal, the liquidator will then write to investors whose funds were invested through TAM with Fidelity, the US fund management company, and Gartmore, another investment company, asking them if they would like BCP to manage their funds. If the individual investors agree, their details will then be passed to BCP.
Around £30 million of client funds is understood to be invested with Fidelity and Gartmore.
It is also expected that accounts for another Taylor related company, Taylor Integrated Planning Services (TIPS), will be filed in the High Court on Monday. It is understood that the company will show a deficit of around £40,000 money which it is owed by other Taylor companies.
The exact amount of money missing from TAM is still unclear and tracking the money has been a complex task, partly because several bank accounts are offshore, and partly because many documents are missing.
TAM had two offices one in Dublin and one in Cork both of which are now closed. The offices were leased.
The authorised officer, Mr Martin Cosgrove, who was appointed by the Department of Enterprise and Employment, is expected to complete his report by the end of November, according to the Minister of State for Commerce, Science and Technology, Mr Pat Rabbitte. However, one source said that, given the complex nature of the case, it could be early in the New Year before the report is ready.
There has been no sign of Mr Taylor since he left the country with his wife in August. A file on the case has been passed to the Fraud Squad which is investigating the matter.
A source of some surprise to the Department of Enterprise and Employment has been the lack of investors coming forward.
Two investors based in the midlands lost more that £650,000. One elderly investor lost more than £200,000. The Society of St Vincent de Paul lost £185,000.
The Department of Enterprise and Employment is still investigating whether self regulation of the insurance industry is adequate. Mr Rabbitte said earlier this month that he was drawing up a detailed agreement with the Irish Brokers Association clearly outlining its responsibilities as a representative body for the industry.
