Folkes Group under investigation
The Inland Revenue is conducting an investigation into the tax affairs of the 300-year old engineering and property development firm, Folkes Group Plc and its executive directors.
The group has confirmed the immediate resignation of Constantine Folkes, 47, as chairman and his suspension as executive director on the board.
Tax authorities are also investigating a private company controlled by Folkes.
KPMG has been commissioned to compile a report into the tax affairs and related matters involving the company. It is understood that the existing members of the board will not be able to make any further statement until the report has been completed.
John Hartley, non-executive director of the company, has been appointed as chairman with immediate effect.