The administrators of collapsed national IFA Clarkson Hill have placed the company into liquidation in a bid to recover commission owed to the group.
Administrators Anthony Murphy and Robert Horto said the company should move into liquidation 'so that the collection of any outstanding commissions can be completed, and the likelihood of further recoveries can be properly explored'.
Merchant House bought assets of Clarkson Hill after the firm announced it was going into administration in December 2010. Under the terms of that deal, Merchant House has been paying Clarkson Hill pipeline and trail commission payments. Over the 12 months since administrators were appointed, Clarkson Hill has received £179,684 from the group.
However, the administrators have warned over the progress made in collecting commission payments. 'It is the administrators' opinion that the collection of commission receipts has not concluded satisfactorily, and that there may still be further recoveries achieved. The level and timing of these potential recoveries remains uncertain.
It has also appointed third party Phoenix Corporate Managers to review the commission paid to Clarkson Hill in the 12 months since administration. It said Phoenix would examine the level of commission Merchant House had paid to former Clarkson Hill advisers in line with the acquisition deal.