islands newspaper has claimed.

The controversial Punch said: "In fact many Bahamaians are hoping the Bermuda PLP does mess up because their mistakes will almost certainly mean that the Bahamas will benefit as financial companies move back to our shores.'' And it added: "Additionally, we would gain business from Bermuda's banking and tourism sectors that have helped to make the Island one of the richest nations in the world in terms of average earnings per person per year.'' The Bahamas-based weekly said ex-Prime Minister Sir Lynden Pindling and his Progressive Liberal Party's "flawed policies'' took the country "to the brink of bankruptcy'' and drove most of the captive insurance business to Bermuda in the 1970s.

The Punch editorial added: "And with luck, we will get that lucrative insurance business back if Bermuda's PLP scares off investors.'' Punch added that former United Bermuda Party Premier Sir David Gibbons "has just invested $8 million in the Bahamas'' to develop a new office building.

The editorial added Sir David has other investments in the Caribbean nation -- including holdings in Commonwealth Breweries, Burns House and Security and General Insurance.

Last night Sir David said he had had business interests in the Bahamas -- dating back nearly 30 years.

He explained Gibbons companies had invested in the wines and spirits business in the Bahamas in the 1970s.

Sir David added the Gibbons empire had also bought out the health insurance sector of a US business with interests in the Caribbean and Bermuda.

He said: "Because of the then-Mr. Pindling, no investment in office buildings in Bahamas was made -- as this business proved to be very successful, we built our own.'' But he insisted the buyout was several years ago and the decision to build the new office block had been taken two years ago.

He said: "Our investment there had nothing whatever to do with lack of faith in Bermuda. It was just an opportunity for growth down there.''