Frequently Asked Questions
The Payment and Electronic Money Institution Insolvency Regulations 2021 (“Special Administration Regulations”) were introduced to improve the process where a payment services or electronic money institution fails. A payment services or electronic money institution for these purposes is a firm which holds safeguarded funds and certain permissions from the Financial Conduct Authority (“FCA”).
A special administration under the above regulations was the most appropriate route for the LLP as payment and e-money services is its predominant business line.
A Special Administration is similar to an ordinary administration; for example, it is subject to the supervision of the English High Court in London.
However, some of the key differences are detailed below. The Joint Special Administrators (“the JSAs”) have to pursue three objectives:
- To ensure the return of relevant funds as soon as is reasonably practicable;
- To ensure timely engagement with payment system operators, the Payment Systems Regulator and the FCA; and
- To rescue the institution as a going concern or to wind it up in the best interests of the creditors.
There are a number of specific requirements in a Special Administration. For example, the JSAs are required to reconcile the safeguarded funds at the date of the Special Administration. They must carry out this reconciliation using the method adopted by the institution when it last carried out a reconciliation to identify any shortfall or excess in the asset pool and to settle that shortfall or excess.
Therefore, one of the JSAs’ initial actions is to secure and quantify the safeguarded funds held in the asset pool(s) and to establish the claims that customers have against the asset pool(s). Following this, the JSAs can then develop a process to enable the distribution of the funds in the asset pool(s) to customers.
Funds received from customers in relation to electronic money and payment services, as well as client money relating to wealth management services, were required to be held separately from the firm’s own funds (and each other) in line with the electronic money regulations (for electronic money and payment services) and the FCA’s rules (for wealth management services).
The JSAs are in the process of carrying out an assessment of the funds received from customers held with Argentex LLP under the electronic money regulations for electronic money and payment services (“relevant funds”) and FCA rules (for wealth management) (“client monies”) to confirm the current position. Following the assessment, the Joint Special Administrators will work to return funds back to customers.
There are costs associated with returning such funds back to customers. Under the law, these costs will be deducted from the relevant funds or client money held by Argentex.
Argentex was exposed to significant recent volatility in foreign exchange rates, specifically in relation to the US dollar. This volatility meant Argentex’s liquidity requirements increased significantly.
Following a detailed review of Argentex’s financial position, and ongoing discussions with stakeholders around long-term funding solutions, Argentex took steps to protect its clients and ensure compliance with its regulatory obligations. Argentex reached an agreement with the FCA, its regulatory body, on 24 June 2025 to enter into a voluntary imposition of requirements (VREQ), limiting Argentex’s trading activities. Argentex entered into a further voluntary agreement with the FCA on 17 July 2025, which placed restrictions on its ability to carry out regulated activities.
Due to the nature of the business, it was most appropriate to appoint Special Administrators to protect customers and ensure the return of relevant funds and client monies, as soon as possible.
No. The LLP ceased all client trading activity and has had restrictions on its ability to conduct regulated activities since 17 July 2025.
However, all existing obligations in respect of contracts between LLP and its contract counterparties remain legally binding and in full force and effect unless and until otherwise discharged or addressed by the JSAs.
Customers should not send any new funds to Argentex. Access to Argentex Online has been disabled and customers will be unable to make withdrawals, cancel existing trades, enter into any new trades or book any new transactions. This currently applies to Argentex LLP and all other Argentex entities. Further information can be found on Argentex’s website.
In the short term, you will not be able to transfer or otherwise use your funds held with Argentex LLP – they are effectively frozen. The JSAs recognise that this may be a difficult position for customers to be put in. One of the JSAs’ key objectives is to resolve this position as quickly as possible. The JSAs’ immediate priority is to take control of relevant funds and client monies and reconcile these. In the longer term, a plan will be developed to return the relevant funds and client monies to customers or transfer them to another provider.
We are currently unable to provide any further details on possible timings or the amount of any distributions. We will update creditors and customers in due course.
Yes, you will need to make a claim into the Special Administration. There will be a claims notification process following us writing to all customers and creditors. We will be in contact about this in due course.
We classify customers as those who used Argentex LLP’s payment or e-money services, or for whom the LLP held client monies (as part of its investment services). We classify creditors as suppliers of the business (for example technology providers, landlords and employees) and other contract counterparties of Argentex LLP.
FSCS protection only applies to certain types of activity. This does not include electronic money and payment services.
The JSAs are working with FSCS to determine whether FSCS protection may exist for eligible customers in relation to client funds Argentex holds as part of its other investment services. This work is ongoing.
When Argentex LLP provided regulated payment service and e-money activities, or held client money, it was required to hold these funds separately from Argentex LLP’s own operating bank accounts specifically for those customers. This is a key consumer protection measure within the relevant regulations.
The JSAs are performing their duties in line with the Special Administration Regulations (and associated rules). As part of this, the JSAs are and will be in regular communication with the FCA to update them on the strategy and progress of the Special Administration. The JSAs are regulated by their professional bodies and are officers of the Court. The Special Administration is subject to the oversight of the High Court of Justice of England and Wales.
It should be noted that Argentex LLP remains authorised by the FCA and remains subject to the FCA’s rules.
The JSAs will correspond with all known customers in the coming days. All known creditors (as distinct from customers) will also receive notification from the JSAs within 7 days of their appointment.
It is not possible to be certain at present to what extent, and when, relevant funds and client monies will be returned. This is dependent on, amongst other things, the extent of any shortfall in relevant funds and client monies identified and the quantum of costs and professional fees associated with distributing these funds back to customers.
The JSAs are treating the reconciliation and funds return process as a priority and will look to progress this work as quickly as possible, while following the statutory process.
Being alert to scams
All customers should remain alert to the possibility of fraud. If you are cold called by someone claiming to be from Argentex LLP, FRP, the FCA or FSCS, please end the call and contact them directly. The JSAs can be contacted by email at Argentex@frpadvisory.com.