A court order that shipping giant Frontline pay up or be shut down today has been pushed off to next week.

The Bermuda-based shipper - reported to be the world's largest oil tanker company - was ordered shut down in Bermuda Supreme Court by Chief Justice Austin Ward last month if it didn't pay out close to $8 million by yesterday to the plaintiff, The Blad Foundation, in a wind-up petition.

The petition - under the provisions of the Bermuda Companies Act 1981 - claimed that Frontline was insolvent based on its not having paid a judgement debt to Blad of nearly $8 million.

The order, if enacted, would bring down Frontline's fleet of tankers - including some 40 Very Large Crude Carriers (VLCCs) and up to 30 Suzemaxes - majority controlled by Norwegian multi-billionaire shipping magnate John Fredriksen.

The order winding up Frontline was to have become effective today but in a meeting in Chambers yesterday, before Puisne Judge Charles Etta-Simmons, the order deadline was extended to 14 August, 2003.

Yesterday Frontline's legal counsel said the monies would be paid and that the order deadline had been extended in order to enable the money to reach plaintiff Blad.

Appleby Spurling & Kempe lawyer John Riihiluoma, acting on behalf of Frontline, told The Royal Gazette yesterday there had been a hearing that morning.

He added: "The situation is that Frontline initiated payment to Blad but through no fault of its own the money was not received by the appropriate authority in Liechtenstein.

"In the circumstances, the court extended the deadline to 14 August. We fully anticipate that payment will be received (by Blad) well within the deadline," Mr. Riihiluoma said.

The legal action follows a bitter dispute between the two parties dating back to the late 1990s when The Blad Foundation and Frontline came to an agreement whereby the former would help the latter in a hostile takeover bid for rival shipping company ICB.

In that deal, which would later turn sour, The Blad Foundation was to use its membership in a consortium to buy up shares of ICB and transfer them to Frontline in exchange for compensation above the value of the shares.

Since then the matter has been heard and ruled on by both Swedish and Bermuda courts in favour of The Blad Foundation.

Meanwhile, the Blad Foundation has, until now, been represented by Conyers Dill & Pearman attorney Jeffrey Elkinson but The Royal Gazette understands that an action taken by Frontline in Liechtenstein where Blad is registered, displaced Mr. Elkinson in favour of Attride-Stirling & Woloniecki partner Jan Woloniecki.

Mr. Elkinson when asked to comment yesterday said: "As the former attorney of Blad, I can say Frontline, having taken action in Liechtenstein, managed to secure an arrangement (with the curator of Blad) on the order the Chief Justice made last week, to get it varied."

Mr. Woloniecki declined to comment on the matter yesterday.