explaining its stance on writs which have been served.

The statement says that many of its shareholders have been served with writs by the Joint Liquidators and certain creditors of the Bermuda Fire and Marine Insurance Company Ltd (BFMIC).

It adds that BF&M is anticipating that the rest of its shareholders who received the 1991 dividend will be served with the writs before the holidays.

With the writs to those shareholders is a share transfer form which the liquidator's lawyers have enclosed to encourage unrepresented shareholders to transfer their shares of BF&M to BFMIC, the statement says.

"BF&M has received strong legal advice that the claims to the common shares in question are without merit.

"Therefore our shareholders should not transfer their shares to the liquidators, but should instead immediately join the BF&M Limited Shareholders Association which has been formed to respond to these unmeritorious claims,'' the statement adds.

Shareholders have been sent a letter from Sir John Sharpe, on behalf of BF&M Limited Shareholders Association and Mr. Glenn Titterton, on behalf of BF&M Limited, detailing the importance of joining the Association and enclosing an application form.

The statement says that BF&M "strongly encourages'' its shareholders to expedite the membership application by calling the Association on 4412962534 or 4412957105.