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Lawyers clash at fraud trial

admitted some allegations against the former Senator could be a "misunderstanding''.Lawyer Mark Diel, under cross-examination by Peniston's lawyer Julian Hall,

admitted some allegations against the former Senator could be a "misunderstanding''.

Lawyer Mark Diel, under cross-examination by Peniston's lawyer Julian Hall, admitted that it is "at least a possibility'' that Peniston's answer to whether he was accepted to university on May 23, 1994 was misunderstood.

The admission came during a full day of extensive questioning by Mr. Hall on the seventh day of the trial. Peniston is accused of hiding more than $25,000 in assets from the receiver.

The cross-examination was interrupted by more than a dozen objections to Mr.

Hall's line of questioning by Crown counsel Peter Eccles.

At one point Mr. Hall complained: "I can't take it anymore. This is beyond tolerance. This is how I have cross-examined since the beginning of my career.'' Mr. Diel was the official receiver in the bankruptcy hearings held throughout 1994 in which Peniston is accused of concealing $24,978.26 from two cashed-in insurance policies and the sale of $475 worth of jewellry.

Peniston denies three counts of perjury, two counts of fabricating evidence, two counts of theft, and three counts of fraudulently concealing property.

The Crown alleges Peniston cashed in the policies, worth $14,016.82 and $10,961.64 administered by Bermuda Fire and Marine Ltd. which were both property of his ex-wife, Sylvia Oreeta Peniston.

Mr. Diel admitted there was nothing wrong with someone adding a signature to an agreement or document long after it had been written, telling Mr. Hall: "In the limited ambit of your question, I would have to agree.'' Mr. Hall asked Mr. Diel what he would expect someone to do if they still had the right to leave the Island and felt they were being persecuted. Mr. Diel said: "I would expect them to call me as receiver and tell me the truth.'' "So you would not expect them to get out of Dodge, out of this 21-and-a-quarter square miles,'' Mr. Hall asked. "What is wrong with him leaving before you could keep him a prisoner in his own land, particularly with a misunderstanding?'' "There may have been a misunderstanding but it was crystal clear what he had to do,'' Mr. Diel answered.

The former receiver added that he concluded that if Peniston was willing to lie about whether he had been accepted at university or was about to leave the Island "then he would be willing to lie about the big things''.

Mr. Diel said Peniston "saw the inevitable'' when he called to ask what would happen after a December 19 hearing during which he was told three witnesses, including his ex-wife would be called.

The trial resumes today in the Supreme Court.