The move follows a resignation threat from Works Minister the Hon. Leonard Gibbons.

Mr. Gibbons has called for an end to firms being able to represent a buyer and seller of the same property. "It is time people stood up and be counted.'' Meanwhile, controversy over alleged conflicts of interest hotted up yesterday in the House of Assembly.

One UBP MP urged Government to examine the interests of Bank of Butterfield president the Hon. Sir David Gibbons.

The Hon. John Stubbs said the Island's international reputation should be seen to be "squeaky clean''.

Bermuda Home would be formed by merging the mortgage and real estate divisions of the Bank of Bermuda and L.P. Gutteridge.

The plan came under fierce scrutiny yesterday during the Motion to Adjourn in the House of Assembly.

Shadow Finance Minister Mr. Eugene Cox said the Bermuda Monetary Authority (BMA) should be checking financial institutions.

Instead, they "appear to be taking orders'' -- something later denied by Finance Minister the Hon. David Saul.

Mr. Cox urged Government to probe the "question of unfair practices, the question of conflict of interest, the question of power blocks that are being allowed to be created''.

Dr. Stubbs urged Dr. Saul to look at "the propriety and the public good of the recent announcement''.

And he appealed for him to examine the real estate divisions of other banks.

He said Dr. Saul should "look at the interests of the chairman of the board of the other bank''.

This was a reference to the Bank of Butterfield's the Hon. Sir David Gibbons.

"What happens when he crosses Reid Street, where he has the deposit company? "Surely, there must be conflicts of interest in that relationship.'' Dr. Saul scotched Mr. Cox's suggestions the BMA was taking orders.

But he revealed the Finance Ministry and the BMA would be looking into "this new proposal''.

Earlier this week it emerged the Attorney General's chambers would be examining the plan.

Mr. Gibbons may resign amid fears Bermuda Home would threaten his small real estate firm.

Yesterday he said he would have to devote his energies to combatting the competition.

"I will no longer be able to give enough time to my Ministry and the Cabinet.'' The new company would offer long-term financing for mortgages, consumer loans, and real estate sales and management.

Mr. Gibbons has called on Government to block the planned merger.

If it refused, Mr. Gibbons said he would pilot a Private Members' Bill preventing deposit-taking companies and real estate agents from being under one roof.

"I would have to resign as a Minister to introduce the Bill,'' he explained.

"I would obviously continue to be an MP and look after my constituents.''