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Lloyd's is to abolish its members' hardship committee as part of a new 'get tough' policy to recover u1.3 billion from indebted Names.
Announcing the move, Lloyd's executives also unveiled final plans for the new financial recovery department headed by Dibb Lupton Broomhead solicitor Philip Holden. Dibbs will receive a flat fee for the work.
A recovery committee will be chaired by former NatWest head of debt recovery Bernard Bradford.
The Lloyd's Names Association Working Party - an umbrella group for various legal actions in the market - says it is urging Names to refuse to have any dealings with Holden's team unless there is a court judgment.
Holden will be on the recovery committee, along with Lloyd's CEO Peter Middleton and hardship committee chairman Dr Mary Archer.