The Business Law Reports
[2022] Bus LR 311
Court of Appeal
In re
ipagoo LLP (in liquidation)
[2022] EWCA Civ 302
2022 Feb 9, 10;March 9
Asplin, Popplewell, William Davis LJJ
Insolvency— Administration— Distribution of client money— Regulations implementing EU Directives requiring electronic money institutions to safeguard funds received in exchange for electronic money by segregating and insuring them— Regulations also providing for electronic money holders to be paid from asset pool in priority to other creditors following insolvency event— Whether EU Directives requiring imposition of statutory trust in relation to funds— Whether domestic regulations imposing trust— Extent of asset pool if funds left unprotected because of institution’s failure to comply with safeguarding options— Whether including sum equal to funds not properly safeguarded—
Electronic Money Regulations 2011 (SI 2011/99), regs 20, 21, 22, 24
—
Parliament and Council Directive 2009/110/EC, art 7(1)
—
Parliament and Council Directive 2015/2366/EU, art 10(1)(2)