A company’s former administrators sought an order under the Insolvency Act 1986 that their remuneration and expenses should be payable out of a sum owed to the company from National Westminster Bank Plc (Natwest). The company entered into interest rate swaps with Natwest. After the swaps terminated, the company granted a fixed charge and debenture over its assets to a third party. Administrators were appointed and recorded costs of over £164,000 before the company was dissolved. Following a later review under an FCA scheme, Natwest concluded that the company might be entitled to redress of £62,646 in respect of the possible mis-selling of the swaps. The former administrators submitted that any redress payment should be made to the administrators. Natwest and the Treasury Solicitor argued that the company should be restored to the register and wound up so that any payment could be made to a liquidator and administered by it. The court refused the administrators’ application, finding that it had no jurisdiction to order that the redress be paid to the administrators, nor did it have power to administer the FCA scheme. Thus, the payment was not an asset and could not be subject to the relevant charge. If the company were restored to the register, its floating charge holder and unsecured creditors would be entitled to the redress amount. (Source: Redress due to Sunnyside from Natwest not subject to administrators’ charge)