operational offices because co-chairman Mr. Gregory Plunkett, owes $13,000 in rent.

Mr. Plunkett, who used the office as headquarters for several of his firms, was kicked out of his commercial premises last weekend following an order by Boston Municipal Court.

The office was also the registered business address of Mr. Plunkett's business partner, Dr. Gilbert Beinhocker.

The 60-year-old Americans are now believed to be searching for a new home for ARC, which plans to provide a satellite telcommunications system over the former Soviet Union.

Mr. Plunkett and Dr. Beinhocker's ability to raise the necessary capital to get the project off the ground have been questioned by some.

Only a few days before the eviction, the assets of both men were frozen by another court over an unpaid legal bill for $177,000.

And as Dr. Beinhocker was giving a court-ordered deposition yesterday in an attempt to find out where his assets are, further details were uncovered about Mr. Plunkett's debts.

It has been revealed that Mr. Plunkett was asked to leave his previous Boston office for alleged unpaid rent of $136,000.

And three properties he has been connected with have been seized by New England banks over the last two years.

Another of Mr. Plunkett's business failures has also come to light. A condominium complex in Roxbury, Boston, in which he was a partner went bust in 1990, two years after his group of investors took it over, according to a report yesterday in the Boston Herald.

The development was set up with $4.3 million borrowed from Boston Five Cents Savings Bank and utilised another $1.2 million in public subsidies, reported the Herald.

The project allegedly ran into problems almost immediately and Boston Five ended up recalling its loan.

In a court document, bank official Ms Susan Monahan stated that the developers "have proven themselves incapable of properly managing and running this project''.

Mr. Plunkett and Dr. Beinhocker have been accused by others of being unable to manage business ventures properly and are alleged to have siphoned assets in several projects.

Their ability to run ARC has been questioned by some former business associates and the eviction of ARC, which is a joint American/Russian venture, has led to further speculation about the company's future.

Mr. Plunkett and Dr. Beinhocker's poor track record in business was raised yesterday at a Board meeting of the Bermuda Monetary Authority, which is monitoring the situation.

None of ARC's English-speaking officers appear willing to discuss the company's plans and The Royal Gazette has been unable to contact any Russians involved with the business.

Mr. Plunkett and ARC's corporate secretary Mr. Perry Trott have failed to return several phone messages and Dr. Beinhocker cannot be reached for comment.