Article: NEW CAP RE LIQUIDATION RECOMMENDED.

SYDNEY, Australia-Facing estimated losses of $200 million, Australia's New Cap Reinsurance Corp. Ltd. should be liquidated, the reinsurer's administrator recommends.

John Gibbons of the Sydney-based accounting firm of Ernst & Young Australia, was appointed by New Cap Re in April to administer the company's underwriting business, which had estimated 1998 losses of $140 million (BI, May 3).

New Cap Re, established in December 1996 with $200 million in capital, underwrites from Bermuda and Sydney. The reinsurer's holding company, New Cap Reinsurance Corp. Holdings Ltd., is based in Hamilton, Bermuda, and is being liquidated by the Bermuda Registrar of ...

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