Among the well-wishers for the new venture are the New York lawyers who represent the British government and other creditors.

And some lawyers representing creditors contend that all shareholders might have to make refunds.

Auditors could conceivably ask the audit committee or board of directors to determine materiality since these groups represent investors and creditors.

Bankruptcy lawyers are also retained to represent creditors, investors, employees - anyone who stands to be affected by a company's filing.

Mr. Zweibel has practiced bankruptcy law for 25 years, mostly representing creditors.

Typically, the bankruptcy process involves anunpredictable conflict between the company's management and committees recognized by the court to represent creditors and shareholders.

His plan, which would make a hostile takeover even easier, is now opposed by committees representing the shareholders and creditors of Texaco.

Eastern's striking unions opposed the extensions, while committees representing Eastern creditors and preferred shareholders supported them.

A committee is created to represent creditors during the reorganization.

The plan, which has been approved by committees representing shareholders and creditors, is based on rate increases of 5.5 percent for each of the next seven years.