Beach general manager Ingo Schweder left Bermuda in disgrace.

Shadow Tourism Minister David Allen said the German hotelier had been "abusing'' housing subsidies.

And he claimed Mr. Schweder's actions had been smoothed over without publicity.

A Bermudian, said Mr. Allen, would have been treated very differently and brought before the courts.

Labour Minister Quinton Edness, however, protested Mr. Allen was out of order to make accusations of embezzlement.

He said Mr. Schweder had not appeared in court or faced any charges.

"I think it's very dangerous to malign a person like this.'' Premier Pamela Gordon later described Mr. Allen's comments as "a little bit scandalous''.

"We should all pull together and look for solutions. I would encourage all of us to temper our words,'' she said. "We send a message to the community from this House and this message should be constructive.'' Mr. Schweder, 36, resigned in February after 15 months as Elbow Beach general manager.

He was said to have quit shortly after being summoned to the New York offices of Rafael Hotels which runs Elbow Beach.

In a memo to hotel staff, Mr. Schweder wrote: "I have to advise you that I will resign my responsibilities as general manager of Elbow Beach effective February 17, with my last working day being March 17, 1997.'' The memo added he would be taking on a new assignment overseas.

The hotel owner's representatives and director of finance, William Guthrie, said Mr. Schweder had resigned for personal reasons.

In the House of Assembly yesterday, Mr. Allen said Mr. Schweder had come to Elbow Beach amid boasts he was going to work wonders at the property.

Instead, said Mr. Allen, he left in disgrace and was "hustled out of the country''.

TOURISM TOU