Palio restaurant in Somerset to close indefinitely.

Owner Fosco Nannini told The Royal Gazette that someone was believed to have broken into the restaurant through a bathroom window on Monday night -- when it was closed for business -- and poured a flammable liquid on the floor.

At least $5,000 worth of damage was caused to the upper level of the two-storey Italian restaurant.

Bermuda Fire Services spokesman Lt. Jon Thompson said when firefighters arrived at the scene shortly after 11 p.m. on Monday, smoke was billowing from the restaurant.

While the fire was confined to a five-by-ten-foot area on the second floor, he said the entire room was covered by soot and the carpet and floor were damaged.

Mr. Nannini said he had no idea when the restaurant will re-open.

"It could be one week or two weeks or more. There was a lot of smoke damage to pictures, flower arrangements, carpet and some furniture.''