claim of $19.7 million against him and two of his former business associates, Mr. David Thirkill and Mr. Douglas Pullin.

After hearing extensive legal arguments over several days at Supreme Court, Chief Justice the Hon. Sir James Astwood decided on Monday that the claim against the men should not be thrown out.

Mr. Hardy's lawyer, Mr. Julian Hall MP, immediately announced that the decision would be appealed.

The claim for $19.7 million is being made by the liquidators of Aneco Reinsurance, a Bermuda-based captive reinsurer owned by Mr. Hardy which went bust last year with debts of around $20 million.

Mr. Hardy did win one victory, however, when Sir James struck out a claim against him alleging that the businessman had converted $13 million of funds belonging to Focus Insurance -- another of his companies in liquidation -- for his own use.