UK: first use of the Special Administration Regime

MF Global UK Limited has become the first investment bank to enter the Special Administration Regime (SAR) introduced by the Investment Bank Special Administration Regulations 2011, under Section 233 of the Banking Act (2009). The SAR was introduced in response to the weaknesses revealed in the UK's insolvency regime following the collapse of Lehman Bros. One of the duties of the administrator under the SAR is to ensure the return of client assets as soon as is reasonably practicable. See here for further background information and here for a statement from the Financial Services Authority.