meeting on February 16.

The creditors -- meeting for the first time -- may push for Mr. Peniston to be declared bankrupt.

Mr. Peniston, 48, was taken to court last year by his 43-year-old former partner Mr. Robert Thomson following the failure of their business venture.

Puisne Judge the Hon. Mr. Justice Ground declared Mr. Peniston insolvent -- unable to pay his debts.

He also attacked Mr. Peniston for making "most serious'' claims against Mr.

Thomson.

Now creditors have been called to a meeting at Hamilton's Chamber of Commerce in Front Street. It starts at 3.30 p.m.

The creditors may pass a resolution that the former Senator be declared bankrupt, legal sources say.

This resolution would then go to the Supreme Court to be rubber-stamped.

Alternatively, creditors could call for a "public examination'' if they want more information about Mr. Peniston's affairs.

Meanwhile, it was announced Mr. Mark Diel would be the "official receiver'' to work out Mr. Peniston's assets and liabilities.