KPMG liquidators prepare to make final BBY payment

Creditors of failed stockbroking firm BBY are set to receive their final dividends soon.

KPMG is seeking to claw back $3.3m from Ken Rosewall, left, after BBY, run by his son Glenn Rosewall, right, failed in 2015. Picture: Sam Mooy

Liquidators of failed stock-trading company BBY are preparing to deliver the final payment to ­almost 6000 customers of the company by January 31.

KPMG indicated that it would soon make the payments after it finished sorting through the remains of the failed broker, which made waves after collapsing in 2015.

The payments will go to BBY clients who held equities, exchanged-traded options, pooled funds from futures, foreign exchange, and Saxo, as well as interactive brokers.

Equities holders are expected to receive an addition 10c in the dollar of funds owed, as part of a total return of 73c in the dollar.

Exchange-traded options holders will get another 9c in the dollar, taking their total return to 59c. Pooled accounts will receive 4c in the dollar, as part of a 26c ­return. Interactive brokers will get another 6c, taking their total return to 44c.

KPMG has already paid almost $21m to creditors, but clients had failed to claim $6.3m, which will be paid to ASIC if not claimed.

The final payment is estimated to result in clients receiving ­another $5.94m.

The high-flying stockbroker, which at its collapse claimed to be the largest independent broker, left creditors $64m in the lurch.

Courts have found BBY had traded while insolvent as far back as January 2014, well ahead of its May 2015 collapse.

KPMG had argued the stockbroking firm may have been insolvent as early as 2011.

The company had been on the path to growth, opening offices in London, New York, New Zealand, on top of its six offices in Australia. With almost 180 staff, and contractors, BBY maintained 118 bank accounts in more than 10 currencies. But KPMG, when appointed to the company, discovered accounts designed to hold funds for clients lacked enough funds to meet client claims.

KPMG has reported that a $192m trade in Aquilla shares that went awry, executed by BBY in 2014, was a key factor in pushing the firm into failure.

Following the trade, the ASX tapped the firm for more capital.

BBY, run by Glen Rosewall and lawyer David Perkins, also boasted Mr Rosewall’s father and tennis great Ken Rosewall as a company director.

KPMG is awaiting a Federal Court judgment on whether Ken Rosewall will be forced to repay $3.3m that the liquidator claims a company associated with him ­received in a preferential transaction out of BBY ahead of its ­collapse.

As part of its examinations of the failure of BBY, KPMG examined Essential Energies psychic and vibrational healer to Glen Rosewall, Nevine Rottinger. Ms Rottinger is understood to have provided advice on hiring and firing decisions and business deals.