In September 2019, Colin Wilson and Cosimo Borrelli were appointed as Joint Liquidators of three BVI companies, World-Wide Investment Services Limited, New Century Properties Limited and Heng Cheong Pacific Limited (“Companies”), by PR Capital LLC, a limited liability company incorporated in Puerto Rico.
Our appointment follows the application by four unsecured creditors (“Creditors”) of the Companies to the United States Bankruptcy Court in Puerto Rico for the Companies to be placed in to bankruptcy under Chapter 7 of the US Bankruptcy Code. The Creditors fell victim to a purported Ponzi Scheme and allege that the Companies were the recipients of misappropriated funds, which were then used to purchase a property in Oregon (“Property”).
The Joint Liquidators worked with US (Shumaker, Loop & Kendrick, LLP) and BVI counsel (Forbes Hare) to successfully seek recognition (pursuant to Chapter 15 of the Bankruptcy Code) as the US court-recognised foreign representatives in the BVI liquidations. They will now investigate and pursue the Companies equitable and proprietary interest in the Property and distribute the realisations to the Creditors.
This is the first time a Chapter 15 recognition case has been brought in the United States Bankruptcy Court of Puerto Rico.