Richard Patching of Price Waterhouse Bermuda has been confirmed as one of four liquidators in the winding up of Peregrine Investments Holdings Ltd., parent of the Hong Kong group of companies that collapsed during Asia's financial market turmoil.

Price Waterhouse obtained winding up orders for the group in Bermuda and Hong Kong in March this year. Peregrine Holdings is registered in Bermuda and operates in Hong Kong.

Mr. Patching is the Bermuda-based partner of Price Waterhouse (Gray & Kempe), who was appointed by the Supreme Court as joint provisional liquidator, together with Price Waterhouse partners in Hong Kong.

"In a series of meeting which took place on Friday in Hong Kong, the Bermudian and Hong Kong provisional liquidators reported to the creditors that the group, which included more than 200 separate companies, had an anticipated shortfall of more than HK$13 billion (US $1.5 billion) largely made up of losses from its bond and derivatives group,'' Price Waterhouse stated in a press release.

Mr. Patching said that a large international team of banking, derivatives and corporate finance specialists was needed to oversee the group's liquidation.

"To manage this process efficiently for creditors, whilst maintaining the integrity of the two jurisdictions, we are proposing a unique protocol arrangement between the Bermudian and Hong Kong liquidators,'' Mr. Patching stated.

The proposal will be put before the courts in Bermuda and Hong Kong for ratification. Appleby Spurling & Kempe has been retained by the liquidators to develop the protocol for consideration.

AS&K head of insolvency Nigel Howcroft said the protocol between the two jurisdictions would be the first of its kind involving a Bermuda company.

"It would protect the interests of the creditors, wherever they are located, enable the liquidators to satisfy their professional obligations as officers of the courts, minimise duplication of effort, and thus maximise the return to creditors.'' Mr. Howcroft said the protocol will set a precedent other cross border liquidations could use as an example to follow. The protocol will focus the liquidation in Hong Kong and duplicate the actions in Bermuda.