been back on the Island for several weeks, but the outcome of the bankruptcy proceedings against him is still unclear.

Mark Diel, lawyer for the creditors, said he was aware that Mr. Peniston was in Bermuda but refused to divulge any details about the status of the bankruptcy action. Mr. Peniston is a former law student at the University of Buckingham. He owes creditors hundreds of thousands of dollars and has been ordered by the courts to come up with a scheme to repay them.

However, the creditors have met and shot down his scheme for paying his more than $800,000 in debts. At least some of Mr. Peniston's problems stem from a dispute he had with wealthy Scottish businessman Robert Thomson.

He lent Mr. Peniston $80,000 and later Mr. Thomson became Mr. Peniston's business partner in the Bermuda Travel & Shipping Ltd. The two men formed the glass-bottom boat firm Bermuda Vacations.