for $2,287 Million Over $2,287 million have been secured by approximately 3,000 policyholders as the end of a month-long extension of the deadline for investors in lump sum, interest-sensitive policies to sign an agreement to recover their funds looms. Almost 80% of policyholders with over $200,000 invested in these policies, but only 18% of policyholders with less than $20,000 have come forward to sign the agreement which allows them to regain their funds through a FINSAC-pioneered deal with the Bank of Nova Scotia. These represent 38% of policyholders and 82% of the total liability. Come Thursday, June 10, the extension will cease and under a court-approved plan, policyholders' funds not signed for will be transferred to Larnaka Ltd. - a FINSAC subsidiary - for resolution later. Poor management of lump-sum, interest-sensitive policies has been pivotal in the demise of Crown Eagle, Dyoll and Mutual Life and was removed from the portfolios of the companies as a prelude to putting the traditional insurance business to tender. T he offer to Asset Investor, Fortune and Mutual Investor Plus policyholders is for up to $200,000 to be available after the agreement was signed and any remaining balance held on Certificates of Participation maturing in 5 years and earning tax-free interest. Meanwhile, as FINSAC moves to deepen the rehabilitation of the insurance sector, First Life Insurance Company and Guardian Holdings have begun due diligence activities at Crown Eagle, Dyoll and Mutual Life Insurance Companies. First Life and Guardian are the winners of the recently concluded tender for the insurance portfolios of the failed companies and following Court approval the insurance portfolios will be transferred to the successful bidder. Guardian's bid for Individual Life and pensions portfolios was $1,139.3 million while First Life's bid of $171 million for the Group Life and Health Portfolios was the highest for this portfolio. May 13, 1999
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