Abstract
We study non-commutative convolution measure algebras satisfying the condition in the title and having an involution with a non-degenerate finite dimensional *-representation. We show first that the group algebra L1(G) of a locally compact group G satisfies these conditions. Then we show that to a given algebra A with the above conditions there corresponds a locally compact group G such that A is a * and L-subalgebra of M(G) and such that the enveloping C*-algebra of A is *isomorphic to C*(G). Finally we show for certain groups that L1(G) is the only example of such algebras, thus giving a characterisation of L1(G).
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