Pre-settlement lender Ask Funding, which went into run-off in March, announced yesterday that it expected to conclude the sale of its principal loan book and business by the end of the month.The company has an exclusive agreement with Deutsche Bank, which is conducting due diligence in respect of Ask's disbursement funding loan book.In the event of a sale, the board will seek shareholder approval for the closure of the remaining loan books and the de-listing of the company. If the sale does not go ahead the board will recommend that the business be placed in full run-off.Ask was in the business of providing finance to people making personal injury and other legal claims, including matrimonial and inheritance settlements. The company went into the red in the December half, after suffering a blow-out in loan impairments. It suffered a loss of A$27,310 for the six months to December, compared with a net profit of $319,762 for the previous corresponding period. In March, the company reported that it had breached an obligation under its senior syndicated debt facility. Its financier, Bankwest, said it would enter into a waiver in respect of the breach as long as the company reduced the facility limit from $57.1 million to $40 million. Ask's auditor, KPMG, noted in the company's interim financial statement that further covenant breaches were possible. "There is material uncertainty with regards to the course of action the financier may take in relation to such breaches of the facility agreement."This factor… indicates the existence of a material uncertainty, which may cast significant doubt on the ability of the group to continue as a going concern."Yesterday, the company reported a net loss of $11.2 million for the year to June. The result included "significant impairment of loans and advances, full impairment of intangible assets and de-recognition of deferred tax assets."