MS Lending Group Ltd and another company v LVR Capital Ltd and another [2023] EWHC 2509 (Ch) (published 2/11/23)

This is an interesting decision involving rectification of a company’s register in the context of an administration.

The Chancery Division approved the application for administration filed by the first and second applicants, acting as secured creditors of the company in question. Alongside seeking an administration order and the appointment of Joint Administrators for the company, the applicants requested an order, as per section 859M of the Companies Act 2006, to correct the company's register by removing incorrectly filed statements of satisfaction related to the applicants' secured lending.

The applicants claimed that the company owed them over £800,000, a sum advanced for two properties. The court considered the rectification application and acknowledged the applicants as floating charge holders with the right to apply for administrators' appointment under paragraph 35 of Schedule B1 of the Insolvency Act 1986.

The court ruled, among other things, that the register should be rectified by removing the identified erroneous documents, and the charges should be marked as 'outstanding' rather than 'satisfied.' Additionally, administrators (R and A) were appointed for the company under paragraph 35 of Schedule B1 of the Insolvency Act 1986.

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