story in Inside Bermuda newsletter as unsubstantiated in its description of his application to set up a new reinsurer on the Island.

"The story is a load of crap,'' he said. "I am disappointed in the lies.'' In the story business writer David Marchant claimed the Insurance Advisory Committee had refused to give approval for the set up of Resource Underwriters Ltd.

Mr. Spencer-Arscott said the admissions committee at a meeting on October 24 had deferred the application hearing to October 31 pending more underwriting information about loss reserves and payout patterns. The information was supplied and the meeting went ahead.

"Apparently the committee was satisfied,'' Mr. Spencer-Arscott said. "We are waiting to hear their decision.'' He also cited as untrue allegations by Mr. Marchant that his partner David Thirkill was bringing $30 million in capital to the table tainted by ties to Martin Hoffman.

The story described Mr. Hoffman's various business ventures in the insurance sector as saddled with failure and allegations of fraud. Mr. Thirkill was also cited as working for Steven Hoffenberg, who was convicted of fraud and false accounting by the US Securities and Exchange Commission in 1993 according to the story.

BUSINESS BUC