BONDHOLDERS who were left in the cold with worthless paper after Dutch bank ING stepped in to rescue Barings are seeking to sue Barings, its former directors and the issuers of the bond.
These are Hoare Govett, part of ABN Amro, BZW, a division of Barclays Bank, and blue blood stockbroker Cazenove and Company. The Barings companies are Bishopscourt, formerly Barings Brothers & Company and Barings Plc, both in administration.
All told, bondholders lost about #100m and decided earlier this month to pursue indviduals and advisers associated with the bond issue.
The Barings 9!f% Perpetual Noteholders Action Group (BPNAG) said yesterday that the proceedings relate to the terms on which the #100m of bonds was issued in January 1994. It alleges a combination of omissions and incorrect or misleading statements in the listing particulars of the issue and has applied in the High Court for permission to start legal proceedings. The bondholders said that the case is likely to be heard within the next six to eight weeks.
The former directors from whom BPNAG is endeavouring to claim damages are Peter Baring, chairman of Barings PLC; Andrew Tuckey, his deputy; John Bolsover, chairman and chief executive of Barings Asset Management and a director of Barings Plc; John Dare, director of Barings Plc; Peter Norris, chief executive of Barings Investment Bank and director Barings Plc; Lord Ashburton; Nicholas Baring; Michael Miles, director Barings Plc; Miles Rivett-Carmac; JP Birkelund; Robin Broadley and Robert Malpas.
Writs issued for bondholders last year against trader Nick Leeson, whose dealing in derivatives in Singapore and Tokyo led to the fall of Barings, failed to force him to appear in a London court after the Serious Fraud Office declined to ask for extradition.
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