Investor Update, 24th March 2023 – Notice of Court Proceedings

Dear Investor,

As you are aware, on 28 July 2022 the Court made an Order that allowed for the costs and expenses of and incurred by the Office Holders and third parties dealing with this matter to be paid from up to 11% of the net sums recovered.

This email is to inform you that an application was issued on 23 March 2023 to ask that we be allowed to increase that to 26% of the net sums recovered. Full details of why we are asking for this are set out in the Fourth witness statement of Frank Ofonagoro and its exhibit which contains the documents referred to in the statement, but in brief there have been issues with a number of the developments, including in some cases planning permissions needing to be reapplied for, and areas re-excavated; and also with the collection of the loans and reconciliation of the accounts.

Together this has meant that the time to complete the developments, sell the properties and collect in the loans has increased. The increase in time taken, and work involved means that costs have accordingly increased.

We have sought to reduce costs where possible but do not believe that they can be reduced any further while still being able to do the work needed to maximise the recoveries.

The matter is being listed for a short hearing in Manchester on 31 March 2023 for Court to say whether or not it requires any further steps to be taken before the final hearing. You are not required to attend. We will let you know the outcome of this hearing and when the next hearing will be.

We have again put together a survey for you to please complete in relation to the Application. We encourage you to complete this and to let us know if you wish to appear or be legally represented at the final hearing of the Application, or put anything in writing to the Court. Please complete the survey by 14 April 2023.
Clicking here will take you to the survey.

The following further documents have been uploaded to the House Crowd Platform for you to view. Please click the links below to read them and take legal advice if you require it to understand how this will affect you.
Application Notice - click here to download the PDF
Fourth witness statement of Frank Ofonagoro - click here to download the PDF
Exhibit FO4 - click here to download the PDF
Order of HHJ Pearce dated 28 July 2022 - click here to download the PDF

Please note that the documents are as filed with the court on 23 March. They do not yet have the court seal on them. We will upload these when we have them.

Should you have any questions then please direct these to [email protected] but please note that the Office Holders are not able to provide legal advice.

Kind regards.
The Joint Administrators
The House Crowd Limited
House Crowd Finance Limited
House Crowd Finance (Security Agent) Limited
House Crowd Property Management Limited

On 24 February 2021, with the consent of the FCA, the directors of The House Crowd Limited (“The House Crowd” or “the Company”) placed the Company into Administration and appointed Frank Ofonagoro, Jeremy Woodside and Frank Wessely of Quantuma Advisory Limited as Joint Administrators, due to the financial issues that the Company was facing. Investors should note that following House Crowd Finance (Security Agent) Limited, House Crowd Finance Limited & House Crowd Property Management Limited entering Administration on 25 February 2021, these entities have now all converted from Administration to Liquidation as of 1 March 2023 with Frank Ofonagoro, Jeremy Woodside and Frank Wessely (“the Office Holders”) acting as Joint Liquidators with The House Crowd Limited remaining in Administration. The Office Holders priority remains to secure the best possible outcome for all parties. Wherever possible, that includes the repatriation of client monies, completion of existing development builds, orderly wind down of loan books, and ultimately protecting the interest of investors and creditors.
This website will continue to be used to provide investors and creditors with information and is being updated when information becomes available.
Should you wish to contact the Office Holders directly, they can be contacted as follows:
email: [email protected]
write to: The House Crowd Limited – In Administration, C/O Quantuma Advisory Limited, Third Floor, 196 Deansgate, Manchester, England M3 3WF
With large volumes of enquiries still being received, the Office Holders thank you in advance for your continued patience and cooperation.
The affairs, business and property of The House Crowd Limited are managed by the Joint Administrators, who act as agents of the company and contract without personal liability. Frank Ofonagoro is licensed in the United Kingdom to act as an Insolvency Practitioner by the Insolvency Practitioners Association. Jeremy Woodside and Frank Wessely are licensed in the United Kingdom to act as Insolvency Practitioners by the Institute of Chartered Accountants in England & Wales.

This update (and the associated downloads) is intended for, and should only be read by, you the account holder(s). Its contents are confidential. Any reproduction, dissemination, copying, disclosure, modification, distribution and /or publication of this message without our prior written consent is strictly prohibited.

The House Crowd Limited – In Administration
C/O Quantuma Advisory Limited
Third Floor
196 Deansgate, Manchester, England M3 3WF
United Kingdom