Equisure, Inc.'s CEO/Chairman Speaks Out.

MINNEAPOLIS--(BUSINESS WIRE)--Oct. 3, 1997--Equisure, Inc.'s (Formerly AMEX: EQE) newly appointed CEO/Chairman speaks out, "Only in America could the misuse of its system destroy a Company and yet that same system ensures the opportunity to vindicate itself."

"By way of introduction, my name is Peter Uttley, Chairman of the Board/CEO of Equisure. It is now time to make a record of the events that have taken a Company from success and profit to paralyzation and near bankruptcy. Having said that, and not wishing to prolong the agony of shareholders who are kind enough to read this, I assure you that Equisure has warded off the dangers that existed and will once again demonstrate performance and profit for its shareholders. But now the long awaited story. The simple truth was consumed in the belly of deception, but now has been vomited for the world to see.

In July, AMEX received, from the Belgian Police, a report which suggested and implied that Equisure, Inc. was part of a scam. The Police report went on to allege that affiliates of Equisure were criminals.

The entire report was false. A few days after the allegations appeared in the U.S. Press, the Belgian Police removed their allegations involving Equisure. The Belgian Police said that the American Press had made the linkage involving Equisure to a scam insurance operation and not them. One has to wonder why the Belgian Police would falsify their report (with its inclusion of Equisure) and submit it to AMEX, then remove it a few days later.

I offer the following answer for your enlightenment.

Our investigations have identified Michael Reeves (the only man arrested in Dai Itchi ($500,000,000 USD) Insurance faud scam), Trevor Jones (a discredited, unscrupulous bankrupt, with a scandal "rag" sheet that makes the paparazzi seem like choir boys), and Peter Clarke (international thief, whose victims include a "Widows and Orphans" fund), as conspirators who hatched a plan to defraud Equisure shareholders of millions of dollars and take operational control of the Company. Their plan was to destroy the credibility and performance of the Company and then "tender an offer" to purchase at less than 50 cents a share. They gave no thought to the rules. They gave no thought to the damaged shareholder. They gave no thought to their exposure because they thought they had none. They are thieves. They are liars. They are cheats. They infected the Belgian Police and made them a part of their scam.

Sometime in July, AMEX received the Belgian Police report authorized by the scallywags already identified above. AMEX made no inquiries to Barrie Harding, then President, or any member of the Board of Directors concerning the allegations in front of them. Instead, they halted trading and issued a statement that they were investigating Equisure, Inc. in respect to insider trading and the activity of affiliates. This has now proven to be a knee jerk reaction that AMEX will somehow have to address to Equisure's shareholders at some point in the near future. Somehow, AMEX, with unproven allegations in front of them, elected to place 11,566,000 shares in harms way without having made one call to the Company that it crippled.

After having served as a Director on the Board of six companies over the past 20 years, I am outraged that this action was taken without regard to the effect it would have on my shareholders.

Not by coincidence, the New York Post broke a story on August 6 that they touted as exclusive. It was exclusive. It was fed to them by Trevor Jones, a man whose associates congregate with him in the sewer for safety, and the balance of the U.S. media picked up the story. The avalanche of false reportings began opening the door for Clarke's onslaught of Equisure. Shortly before Clarke had made contact with Equisure, Inc. and proferred a c.v. (resume) claiming three Law degrees (one from Harvard) and years of experience as an agent for the SEC. He convinced the Board of Directors that he could lay the problem to rest within 10 working days if he were given complete control of Equisure, Inc. The Board was totally taken in by his willingness to champion our cause; however, the Board began to recognize inconsistencies and no verification of information he reported in his resume. Harvard could not confirm his claims and the SEC could not substantiate an employment record. By the third week in August, we realized we had been had.

In his first 2 weeks with Equisure, Clarke stole $5,000,000 USD. To date we have identified and restrained approximately $500,000 USD and the search continues. More important than the money, Peter Clarke was the only information link during that period with the SEC and AMEX. Clarke's plan was simple: steal the money, ignore information requests of the Regulatory bodies, and have his fellow conspirators spike the Press with additional false allegations to further destroy the Company's credibility and to push Equisure into bankruptcy.

Clarke was employed for just 24 days, fired on the 28th of August, 1997. I am pleased to announce that Peter Clarke currently resides in a Federal jail in New York awaiting extradition to Australia to face charges of theft (from a "Widows and Orphans" fund that was entrusted to him). We were not the first to be defrauded by Clarke and his conspirators, though we may be the last because we will seek criminal charges when the Aussies are done with him.

Only in the United States could the system designed to protect and uphold the rights of investors be misused to hatch such a scam and thankfully only in the United States could that same system be used to make things right for the investor.

But Clarke's "poisoned quill" continued to cause Equisure grief. He contacted trade creditors and false reported that the Company was bankrupt as a result of calls and claims made by other clients and, thereby, encouraged more calls to be made.

Trade creditors react to insurance problems in much the same way as nervous bank depositors react to rumors of bank closure. As a result of Clarke's lies, the trade creditors submitted claims to Equisure sufficient to bankrupt the Company twice over and this action paralyzed the business by placing a restraining order on our major bank account. It should now be stated that through Board action, the Trade Creditors' calls are 100% removed and the portfolio is no longer paralyzed. The Board accomplished this by allowing the TRO to go unchallenged until reorganization of Equisure could be completed. Unfortunately, this meant Equisure not utilize the Press or accounting firms to audit assets and defend itself. Here is why: any removal of the TRO would have resulted in the very substantial claims being paid by the Company and Equisure's funds being rapidly diminished. Audits, verification of assets or a defense meeting the approval of AMEX or the SEC would have involved the removal of the TRO, bankrupting the Company and leaving shareholders nothing. The classical "Catch 22." The choice for me was simple. Take the heat for the silence from the Regulators and continue to be trashed in the Press or place the Company into the hands of the system that was destroying it and hope for the best.

Not seeing a knight in shining armor on the horizon - the Board acted, independently without regard to personal exposure. So be it. I do not wish to suggest that the Board has done everything according to Queen's Rules. Yet, the 11,556,000 shares of Equisure continue to have value. Our temporary sacrifice of dignity at the hands of conspirators or continued exposure with Regulators is the price that we agreed to pay for the benefit of the surviving Company.

Finally, the next assault against the Company which will affect the value of the stock will be launched by selected victims in their plight for financial recovery in this fiasco. I refer to the Brokerage Houses and shareholders who purchased Equisure on margin and now suffer margin calls. The stock is not trading and has no liquid value. The "system" that was engineered to protect the shareholder will once again draw fire power against the Company. The Brokerage Houses and others will initiate legal action to fight for the scraps now fallen from the supper table.

I have straddled the dilemma of the shareholders in this financial mess and believe a possible solution exists in reorganization of Equisure.

Equisure will promptly issue Press reports to inform the public as follows: 1. Permanent appointments; 2. Reorganization actions taken; 3. Projected earnings; and 4. Regulatory filings.

I am proud to champion the fight. It is a part of British culture to face impossible odds when you fight for what you know to be right. In this we share a common bond with America."

Based in Minneapolis with offices in Europe, Equisure, Inc., through its wholly-owned subsidiary Equihot Herverzekering N.V., is a reinsurance company engaged primarily in covering financial and political reinsurance risks. The Company also underwrites a complementary general reinsurance account, which focuses at present on aviation and marine coverage as well as expanding into other areas.

CONTACT: Continental Capital & Equity Corporation,

John Womack, 407/875-1110

or On the Internet at www.insidewallstreet.com

or

Equisure, Inc.

Amy Kirsch, North American Divisional Manager

612/885-3050