David Diggins was under some pressure to come up with the money to finance a property purchase in London or else buyers would have lost their 162,000 deposit because the sellers would have walked away from the deal.

Diggins, 49, of Somerset, was then a senior manager responsible for all foreign and international loans at the Bank of Butterfield, a Supreme Court jury was told on Friday.

Solicitor Robert Morris Gayford who worked for the law firm of Taylor, Goyson and Garrett prepared the loan documents along with colleague Ian Hunter.

In this instance, Neway Properties Ltd., a company based in Gibraltar, wanted to buy a property in London called the Moulin Complex for 1.6 million.

Mr. Gayford said that the Neway Properties loan contract was a fairly normal transaction.

He said he had received a phone call from Diggins in August 1995. At that time Diggins told him that the Bank of Butterfield wanted to make a loan to Neway Properties Ltd.

However, on August 15 the sellers sent a notice to complete. This meant that Neway Properties Ltd. had to buy the property or the seller could opt out of the deal.

The sale price was around 1.6 million and a deposit of 160,000 had already been paid.

Mr. Gayford said since Neway Properties Ltd. was a Gibraltar-based firm, he had to seek legal advice from a team of solicitors based in Gibraltar.

His partner Ian Hunter prepared a property report that looked into such issues as the property's title. He also sought to satisfy the Bank of Butterfield that the property would be good security for the bank if anything went wrong.

Given the notice to complete, Neway Properties Ltd. had until August 30, 1995, to raise the needed money.

Under cross examination from defence lawyer Julian Hall, Mr. Gayford admitted urgency was a feature of the entire operation.

Meanwhile, Diggins, whose trial entered its fourth day yesterday, had initially been charged with stealing $2,812,500 and obtaining the money under false pretences and with intent to defraud, inducing Mary Faries to deliver the money to Neway Property Ltd. without proper authorisation on August 29 1995.

But those charges were dropped on Wednesday morning when Solicitor General Barrie Meade issued a nolle prosequi which meant that he was no longer prepared to proceed on either the stealing or the obtaining money by false pretences charges as they first appeared on the indictment.

Diggins now stands accused of fraudulent false accounting. It is alleged that on August 25, 1995 he falsified a report and its supporting documents.

Secondly, it is alleged that he obtained a valuable security by false pretences on August 28 and with intent to defraud caused Mary Faries to send $2,812,500 ( 1,504,991.93) to the National Westminster Bank in London.

The case continues today before Puisne Judge Richard Ground. Solicitor General Barrie Meade and Nita Grewal appear for the Crown.