people'' had been arrested in connection with the incident.

The Royal Gazette understands some $60,000 was grabbed when gunmen ambushed a Bank of Butterfield van.

Police said the van was making a collection at the South Shore hotel on Friday when the two robbers pounced. After forcing the driver to open the vehicle, the men removed cash from bank bags and fled the scene on motor bikes.

Last night, Det. Chf. Insp. George Jackson, said: "Several people have been arrested in connection with the robbery and our inquiries are continuing.'' Police spokesman P.c. Gary Venning said: "Neither the van driver nor his female assistant were injured in the incident.'' P.c. Venning said the robbers were thought to have been armed with a handgun.

He added the Police investigation was headed by Det. Insp. Legay Farley, from the Incident Room at Prospect, and anyone with information should phone 299-4315, or the Crime Stoppers, 1-800-623-8477.

It was the second major robbery to hit Bermuda this month.

Nine days ago, a masked gunman snatched $30,000 from Kentucky Fried Chicken's Queen Street restaurant. Two male staff -- including duty manager Quincey Simmons -- were frightened into opening the safe upstairs and handing over the weekend's takings.

The president of Island Protection Limited, a security firm owned by Mermaid Beach proprietors, voiced concern at this latest raid.

"It is very disturbing,'' said Mr. Jon Feldman.

Mr. Feldman said most of the staff and many guests were at Mermaid Beach when the incident occurred at about 9.30 a.m.

"I was on the property myself, and heard about it shortly after it happened.

The Police have been interviewing the staff.'' Mr. Feldman was reluctant to release many details while the Police investigation was under way. But he disclosed the robbery took place in the middle of the Warwick property, behind the bus shelter.

It is believed the robbers had lain in wait behind the shelter.

Mr. Feldman said the hotel's trained guard dog Buster, a two-year-old rottweiler, had been caught napping by the raid -- literally.

"Buster had been working all night and deserved some rest. When the robbery occurred he was having a nap.'' Ironically, the robbery came on a day Mermaid Beach was hailing the success of Buster in combating break-ins at the resort.

In 1994, 38 rooms were hit by intruders, while 11 have been targeted so far this year.

Asked whether security at the hotel would be increased following this latest incident, Mr. Feldman stressed the bank had a responsibility for protecting its vans from would-be crooks.

On Friday, Bank of Butterfield management said they were alarmed by this latest incident.

"The Bank of Butterfield is extremely disturbed,'' said executive vice president, banking, Mr. Colin L. Furr. "The robbery is presently under active Police investigation. At this point in time, the bank is not in a position to disclose specific details to the public.

"Fortunately there were no injuries involved with this incident. Bank of Butterfield staff are working closely with CID of the Bermuda Police Service.'' Mr. Furr said an "undisclosed'' amount of money was taken, although sources told The Royal Gazette about $60,000 had been stolen.

He said further details would be forthcoming as the bank received them.

"The bank encourages anyone who has information regarding this incident to contact the Bermuda Police.''