WMF and WMI ready to pay out creditors

Business, Normal

The National, Tuesday December 17th, 2013


THE policy holders who have lodged life insurance claims were urged to provide bank details without delay, Guinn PKF principal and liquidator David Guinn said.

He said yesterday the liquidation process was at a stage where Guinn PKF was able to make an interim distribution to the creditors of the Workers Mutual Insurance and Workers Mutual Fund.

The creditors include the preferential creditors (Internal Revenue Commission, staff and others) and the unsecured creditors (which included trade creditors and the policyholders). 

Last week, having made arrangements to pay the preferential creditors, Guinn PKF began making a 30% interim distribution to the unsecured creditors. 

He said: “The 30% interim distribution available is almost K6 million.”

To date about 3,600 policyholders had been paid out of nearly 9,500. 

Guinn said: “The reason for the difference is that the balance of some 5,900 policyholders has not yet provided bank account details, or have provided incorrect details. 

“The key message is to encourage all policyholders, who have lodged a claim that has been accepted by the liquidator and who have not yet provided their bank account details, to do so without delay so that they may receive their entitlement.

“The message is directed more to the policyholders, as the trade creditors are fewer in number and more readily contactable.

“The unsecured creditors include the trade creditors and the policyholders. 

“The trade creditors comprise companies and businesses that were trading with WMI and owed moneys at the date of the Liquidator being appointed, plus outstanding death claims.” 

“The policyholders are individuals who owned life insurance policies with WMI, who are now entitled to receive the surrender values of their policies (subject to sufficient funds being available to pay these). 

All approved unsecured creditors, including the policyholders, are being paid an interim distribution of 30% (example, 30 toea in the kina).