by filing a lawsuit against the Bermuda Commercial Bank.

Lawyers for the St. George's Club -- still battling for its financial future, six years after going into the hands of receivers -- issued the writ yesterday.

New developer Alistair Woolf, accused of cutting services and hiking prices, claims the club now has a balanced budget for the first time ever.

Several members have complained the club is still being mismanaged but less than five percent have resigned and scrapped their Bermuda holidays.

And the club began its own battle to get back on track by instructing lawyers Diel and Myers to start the legal action.

Both the Bermuda Commercial Bank and its subsidiary the International Trust Company of Bermuda have been named as defendants.

It is understood the dispute surrounds a payment made by the bank, under its former owners Barclays, more than five years ago.

One source said the payment was made from trust funds held by the club.

Another said the damages being sought were less than $100,000.

Mr. Woolf could not be reached for comment last night and lawyer Mark Diel said: "It would be better not to comment at this time.'' But Peter Roberts, General Manager of the Bermuda Commercial Bank, said: "We had been expecting a writ for some time.

"I haven't yet received it, so for that reason alone there is very little I can say.

"It's not uncommon for banks to receive these things but when we have it, we will form a judgment and respond.'' BUSINESS BUC