WILLEMSTAD - A Curacao court issued a critical decision on the ongoing bankruptcy proceedings of Banco del Orinoco N.V. (BDO). The case, initially launched under case number CUR201903648 following BDO’s 2019 declaration of bankruptcy, is supervised by trustees Mr. Gorsira and Mr. Narvaez. This ruling is the latest in a series of efforts to verify the bank's assets and potential creditor claims, which have faced numerous delays and complications.
Verification Meetings and Asset Discrepancies
The court noted that verification meetings were previously held on December 11, 2023, and September 27, 2024, but both were postponed for further verification of assets and to allow time for a potential settlement. At the latest meeting, the court stipulated that the investment entity Cartera, involved in the proceedings, must submit concrete proof of an asset portfolio allegedly held in Singapore valued at approximately USD 1.5 billion. Cartera responded with a letter from Farringdon Asset Management, the purported custodian, but this letter’s authenticity was immediately contested by Farringdon, leaving no further evidence of the portfolio’s existence.
Court Orders Continuation and Deadlines
Due to the lack of substantiating evidence, the trustees petitioned the court for a definitive resolution. The court has granted this request, setting December 6, 2024, as the date for a conclusive verification meeting to finalize asset evaluations. Additionally, creditors must submit any outstanding claims by November 15, 2024. The court emphasized that new claims presented after this date will not be considered.
Implications and Next Steps
This decision underscores the court’s growing impatience with delays caused by the unverified asset claims. The December 6 meeting is expected to be pivotal in determining the future of BDO’s remaining assets, as the court appears poised to bring this prolonged bankruptcy process to a close, regardless of Cartera’s inability to substantiate its claims.