FINANCE Minister Paula Cox has moved to quash claims the island's reputation as a stable jurisdiction is being rocked by allegations of sleaze and corruption.

Ms Cox spoke out following the publication of an article in Wednesday's Financial Times newspaper headlined 'Corruption claims taint island tax haven'.

The article highlighted allegations first revealed in the Mid-Ocean News two months ago that senior Government officials ¿- including Premier Ewart Brown and several Government Ministers ¿ were at the centre of a police probe into corruption at the Bermuda Housing Corporation.

Immediately after the allegations were printed Government moved to block the press from printing further details on the scandal. A temporary gag order is now in place until the matter goes before the UK's Privy Council in October.

According to the Financial Times report, there are fears that "the allegations, extending to home improvements by Ewart Brown, pose a potential danger to the image of a tax haven that is a linchpin of the world insurance industry".

It added that the temporary gag order "threatens Bermuda with an uncomfortable period of uncertainty in which allegations affecting the heart of government cannot be fully aired".

But yesterday Ms Cox hit back, highlighting the fact that "Bermuda has enjoyed a reputation as one of the most stable jurisdictions for international business and finance".

The Minister pointed out that the island adhered to a slew of international regulatory standards and that Government had excellent credit ratings.

"It should also be noted that the Government continues to demonstrate its commitment to good governance by conducting a complete Risk Assessment of the Government of Bermuda to protect against unexpected levels of disruption and unbudgeted costs which could leave Government vulnerable to criticism and reputational damage," she said.

"Bermuda is a responsible jurisdiction and operates in a transparent manner. We require companies that operate in Bermuda to be transparent and operate ethically. As a premier financial services jurisdiction, we affirm fervently the rule of law. That has been and continues to be our signature.

"The fact that when there are legal issues there is adherence to the rule of law affirms and underscores the integrity of our process and that we are a jurisdiction that prides itself on law and good order."