CHERRY FUND LIMITED | Compensation and Support Reference Library, Deeming Exemptions Register, Exempted Failed Investments

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CHERRY FUND LIMITED

Debentures

Exemption Date – 25 October 2012

ACTUAL INCOME AND ASSET DETAILS TO BE HELD

Asset Value

Effective Date

55%

of the face value of the investment

25 October 2012

23%

of the face value of the investment

17 May 2013

48%

of the face value of the investment

28 August 2013

38%

of the face value of the investment

3 December 2013

0%

of the face value of the investment

24 January 2014

Income Value

0%

no actual income is being paid

25 October 2012

Note: Basis for Asset Value estimations listed in the table above:

-   Original estimated return of 55% was announced effective 25 October 2012.

-   32% of the face value of the original investment amount was paid on 17 May 2013 thereby reducing the remaining estimated return to 23% (i.e. original estimate of 55% minus 32% capital paid = 23% remaining).

-   Revised estimated return of 100% was announced effective 28 August 2013 thereby increasing the remaining estimated return to 68% (i.e. new estimate of 100% minus 23% capital paid = 68% remaining).

-   20% of the face value of the original investment amount was paid on 28 August 2013 thereby reducing the remaining estimated return to 48% (i.e. last estimate of 100% minus 32% capital paid minus 20% capital paid = 48% remaining).

-   10% of the face value of the original investment amount was paid on 3 December 2013 thereby reducing the remaining estimated return to 38% (i.e. last estimate of 100% minus 32% capital paid minus 20% capital paid minus 10% capital paid = 38% remaining).

-   38% of the face value of the original investment amount was paid on 24 January  2014 thereby reducing the remaining estimated return to 0.0% (i.e. last estimate of 100% minus 32% capital paid minus 20% capital paid minus 10% capital paid minus 38% capital paid = 0.0% remaining).

You must find out how the capital return was reinvested or disposed of prior to reducing the asset value of the existing Cherry Funds Limited debenture as at the date of each capital return.

The Liquidator has advised there will be more distributions to come, the exact dates and amounts are unknown at this stage.

Note : Not a Ministerial Exemption.  These financial investments are no longer classed as financial assets as this company is in the process of irreversible wind up. See CLIK guidelines P10/C2/S4/Assessing Failed Loans and Debts.