yesterday when a judge agreed to postpone an attempt to make him bankrupt until the New Year.

Puisne Judge the Hon. Mr. Justice Ground made the decision after hearing the financial future of Mr. Peniston and his family was at stake.

Mr. Robert Thomson, Mr. Peniston's former partner in the glass-bottom boat firm Bermuda Vacations, was making the attempt through his lawyer.

But Mr. Peniston successfully argued for time to put more evidence before the court.

Mr. Andrew Martin, for Mr. Thomson, told the court Mr. Peniston had failed to file a proper objection to bankruptcy proceedings in time and therefore the action should go ahead. There was no way the court could entertain any resistance to Mr. Thomson's bankruptcy petition, he said.

Mr. Delroy Duncan, for Mr. Peniston, told the court there was a certain amount of embarrassment on his part over the delay in challenging the bankruptcy attempt, although it was not his fault.

Mr. Peniston had been primarily concerned with court action winding up Bermuda Vacations, that had been going on at the same time.

The bankruptcy case was about "a person whose financial future is at stake and that of his family as well'', Mr. Duncan said.

Mr. Peniston would want Mr. Thomson to be in court so he could be questioned on larger issues.

Mr. Thomson's conduct should be examined before proceedings went ahead, Mr.

Duncan added.

Mr. Martin argued that Mr. Duncan's application could be a "smokescreen''.

The rules did not allow for a "general expedition'' into matters unconnected with the bankruptcy petition.

But Mr. Justice Ground said there might be matters in Mr. Peniston's evidence the court wanted to hear about.

He said Mr. Peniston was alleging a campaign to ruin him and steal his business, for the benefit of other business which Mr. Thomson set up at the same time he was involved in Bermuda Vacations.

Mr. Martin said there was not enough evidence before the court to back up any suggestion of a vendetta by Mr. Thomson which would deprive him of his petition right.

The judge ruled there should be a 21-day adjournment to give Mr. Peniston the opportunity to respond to the bankruptcy petition. He said he would not order Mr. Thomson to attend court for cross-examination on the evidence currently before the court. Costs should be paid by Mr. Peniston, he said.