The lawyer for Bermuda Fire & Marine Insurance Co. Ltd. yesterday concluded questioning of the former head of the company's international operations.

Irmgard Viera, who is now head of BF&M Management Ltd., was being questioned on her management of Bermuda Fire's international business during 1990 and 1991 by Clare Montgomery, the lawyer for Bermuda Fire's liquidator Ernst & Young.

The two have been engaged in a battle of wills with Ms Viera holding up under questions from Ms Montgomery who alleges that she should have known that pollution claims, non-payment by the company's reinsurers, and legal costs would have made Bermuda Fire insolvent.

Ms Viera has consistently denied Ms Montgomery's claims, stating that she trusted estimates from actuarial firm Tillinghast and Cooper & Lines during the 1991 reorganisation.

Ms Montgomery yesterday questioned Ms Viera about the estimates that $5 million in legal costs were estimated to be needed for legal costs in defending against outstanding claims due to pollution losses. Ms Viera and previous witnesses for BF&M Ltd. have stated that Bermuda Fire had taken the position that the company was not liable for pollution claims due to exclusion clauses in its policies. Ms Viera said she couldn't recall how the $5 million estimated on outstanding claims had been accounted for in the accounts used in the 1991 reorganisation. The accounts showed Bermuda Fire without the domestic business had $52 million in assets and $40.3 million in liabilities.

BUSINESS BUC