Customers affected by the collapse of Crown Currency Exchange (CCE) are likely to recoup only a “small percentage” of their losses administrators have warned.
The company went into administration on October 11th this year, with administrators MCR revealing 8,000 people have made claims totalling £16.5 million.
While it remains in close contact with these claimants, the firm has said the case would take some time to “unravel”.
The business, based in Hayle in Cornwall, was established six years ago.
While operation, CCE allowed individuals and business customers to pre-order foreign exchange at a set price up to a year in advance.
It provided travel money in 80 different currencies, as well as travellers’ cheques and money transfers, sometimes for people to buy property.
“The value of the transactions typically ranged from £100 to around £20,000. However there are several transactions in excess of £100,000,” said Paul Clark, of administrators MCR.
When it collapsed at the start of October, customers were warned it could take up to six months before they heard if they would get any cash back.
CCE was not covered by the FSA compensation schemes.
Joint administrators SPW and MCR received nearly 9,500 e-mails and 3,000 phone enquiries from customers.
An action group has also been set up, representing about 2,000 creditors.