Polly Peck International PLC, the troubled British food and electronics conglomerate, asked for court assistance Tuesday to sort out its $1.95 billion debt woes. The decision to apply for a court-appointed administrator followed weeks of wrangling with creditors over financing. The company, which was forced to suspend trading of its shares on the London stock market Sept. 20, said in a brief statement its board ``resolved'' to take the action. A Polly Peck spokesman added, ``The company believes that taking this step will result in the survival of the company and its operations as going concerns.'' Court administration is a form of bankruptcy which enables the company to reduce its debt in an orderly fashion with the guidance of the British courts. It does not always mean the company concerned will be liquidated. The court administrator will decide whether Polly Peck's debts can be serviced through existing operations or through a partial or full liquidation of the company. Company officials held a series of meetings with bankers throughout the day Wednesday. In the past week Polly Peck chairman and chief executive Asil Nadir has tried to round up financial support in Turkey and northern Cyprus. Polly Peck, which has operating subsidiaries in the United States, urkey and Japan, has been operating under a temporary debt standstill agreement since Oct. 5. The company sought the moratorium after creditors withdrew about 100 million pounds, or $195 million, in short-term financing and pressed for answers on the financial status of the company after its share suspension. The moratorium was scheduled to expire Nov. 9. Nadir has been dogged in the British press by allegations of links to a reputed Polly Peck share-support scheme. The company and Nadir, who was questioned by the Serious Fraud Office Sept. 20, have denied any knowledge of wrongdoing. Bankers have called Polly Peck's troubles a crisis of confidence. They said in the early stages of talks that they were inclined to give the company time to sort out its financial troubles. Polly Peck's status, however, deteriorated sharply in recent days as bankers pressed the company for answers about Nadir's finance-hunting trip to Turkey and northern Cyprus. Their growing unease was signalled by calls for early repayment of outstanding debts, and more significantly by the move of National Bank of Canada on Monday to petition the British courts to liquidate the company to meet its debts.
