Pricewaterhousecoopers (PWC) is finalising its investigation into the financial transactions Chester Street Insurance made just prior to its provisional liquidation.

Chester Street's provisional liquidator Dan Schwarzmann said PWC hoped to release the investigation's findings "very shortly".

He said he could not comment further on the results because they had not yet been communicated to Chester Street's creditors, but confirmed the investigation included the 1999 sale of Iron Trades Insurance to QBE International.

In February, Schwarzmann promised creditors he would "review all paperwork" to ensure Chester Street got the best price it could for Iron Trades.

Controversy had surrounded Chester Street's financial transactions leading up to its liquidation in January.

Creditors claimed Chester Street had undersold Iron Trades by £47.5m, after it internally valued the company at £222.5m yet sold it to QBE for £175m.

QBE still holds £27m of the sale price in an escrow account, which is not due to be released until next year.

Chester Street also paid former chief executive Robert Hardy a one-off success bonus of almost £440,000 upon the sale.

In February, Philip Grant, who became chief executive of Chester Street after Iron Trades was sold, said the difference between the sale price and valuation was due to "deferred tax".

He said the payment to Hardy was not unusual in such sales.

A QBE spokeswoman said the company could not comment on investigation until its findings were released.