Kepler-Karst has filed the first petition for bankruptcy proceedings against the fintech companies Wenance Lending of Spain and Abuntia Services, after they suspended interest and capital payments to their investors in July 2023.
First legal action to help creditors in Spain, Argentina and Uruguay
This is the first legal action known in Spain and is intended to help creditors in Spain, Argentina and Uruguay (and other countries, if applicable) to recover the investments made in both companies. This legal action has been filed in Madrid, since the companies are headquartered there, and it has been joined and may be joined by individuals and legal entities that are creditors, regardless of the country they are from.
Thanks to the petition for insolvency proceedings, if admitted, part of the claims of the investors who filed for insolvency proceedings will become privileged instead of ordinary claims, and the administrative powers of the current administrators will be suspended as they will be in the hands of an insolvency administrator, so that income and expenses can be controlled.
Wenance Lending de España and Abuntia Services are two financial entities that offered loans and financing to people with difficult access to credit and high credit risk, with higher interest rates than those granted by banks. To do so, they obtained funds from private investors, mostly individuals, who in turn lent money to these companies in exchange for high return interest rates, ranging from 11% to 18%.
Kepler-Karst represents the ad hoc committee of creditors in Spain, composed of several
several creditors resident in Spain, Argentina and Uruguay. The team involved in this matter is formed by Davinia Sánchez, managing partner of Kepler-Karst, María Bartle, partner specialized in insolvency at Kepler-Karst, Eduardo de Urbano and Víctor Miranda, of counsels specialized in economic criminal law at Kepler-Karst, and the Argentine consulting lawyers Guido Demarco and Fabián Medizza.