Missing businessman Tony Duggan had not paid Government social insurance and pension money he deducted from his employees this year, The Royal Gazette has learned.

Mr. Duggan was last seen on the Island in the middle of July, just after his contracting firm Precision Engineering-Technical Company went into receivership with debts in excess of $1 million.

It is understood that deductions made by Precision Engineering from its 23 staff since January were not passed on to Government.

Mr. Duggan's principal creditor, the Bank of Bermuda, yesterday issued a writ which will allow it to seize the businessman's personal assets, including his luxury catamaran.

The Scottish businessman, who owned the Oasis night club in Hamilton until he sold it in April this year, is thought to have sailed to the Caribbean in the 70 foot catamaran Assagai.

The writ, which will allow the Bank to seize Mr. Duggan's boat in other jurisdictions, will take effect in two weeks if the absentee director does not appear in person or through a lawyer at a court hearing in Bermuda dealing with the receivership.

Receivers appointed to the company have been unable to contact Mr. Duggan since the middle of July when he disappeared.

He is thought to be in the Caribbean, although broadcast reports yesterday that he had been arrested in Tortola in the British Virgin Islands are wrong. Police in the capital Road Town yesterday told The Royal Gazette there had been no arrest.

Receiver David Goodwin of Cox Hallett Wilkinson said yesterday that he had had no contact with Mr. Duggan since his disappearance and did not know where he is.

When asked by The Royal Gazette if Police were involved in the case, he said: `'Not at the moment.''

Meanwhile, the newspaper has discovered that Mr. Duggan's seven month pregnant wife Sandra did not leave with him on the boat. Mrs. Duggan instead took a British Airways flight to London on July 17.

It is understood that when Mr. Duggan disappeared on his catamaran, he had with him another employee and did not notify customs or immigration that he was leaving.

An eye witness who saw Mr. Duggan leaving from his mooring off Smith's Island said he left under cover of darkness with his lights off at first and was speeding at ten knots while close to the shore.