IIROC to distribute more ABCP settlement funds

Originally from our sister publication, Advisor.ca.

The Investment Industry Regulatory Organization of Canada (IIROC) has appointed Ernst & Young to administer additional funds to eligible investors who purchased third-party asset-backed commercial paper issued by Coventree from Deutsche Bank Securities between July 25, 2007 and Aug. 10, 2007.

Read: ABCP mess nearing resolution

This appointment was made to facilitate IIROC’s distribution of approximately $1 million directly to investors who purchased Coventree ABCP from Deutsche Bank during that period.

The funds were collected in an enforcement settlement agreed to by the bank. IIROC has determined eligibility criteria based primarily on the facts set out in the settlement agreement with Deutsche Bank.

The administrator will begin contacting potentially eligible investors by mail this month. They’ll share details regarding criteria for eligibility to participate in the distribution and the distribution process.

Read: Court approves distribution of ABCP funds

Eligible investors will be required to submit a completed participation form to the administrator by July 31, 2013. The intent is to distribute the funds directly to these people by Sept. 30, 2013, once the allocation is determined.

Additional information and eligibility requirements are available in materials posted by the administrator.