CORROON/BLACK <CBL> SAYS UNIT IN LLOYD'S FUND
Corroon and Black Corp said <Minet
Holdings PLC>, of which it owns 25 pct, agreed to participate
in a 103 mln stg fund set up by Lloyd's of London to cover part
of the claims faced by PCW underwriting agencies.
    The company said Minet and several other companies were
involved in the syndicate, which faces 235 mln stg in claims
due to fraud and mismanagement.
    The fund was proposed by Lloyd's to cover a portion of the
claims in return for a contribution of 34 mln stg from PCW
members. The offer is subject to acceptance by 90 pct of the
PCW members by May 30.
    Lloyd's 103 mln stg offer, including 48 mln stg from
Lloyd's and 55 mln stg from brokers, is designed to cover the
reinsurance costs on the 235 mln stg of net liabilities.
    Minet was unable to disclose the amount of its proposed
contribution to the fund, Caroon and Black said. However, Minet
was confident that the losses could be funded from existing
cash resources.
    Under the terms proposed, Lloyd's would take over all
members' future obligations connected with PCW, and members
would agree not to pursue the matter in court.
 Reuter
