CATTLES CULL BOSSES

Chief executive David Postings also quit, although he was not implicated in the probe, as the struggling owner of Welcome Finance continued talks with banks to negotiate a standstill agreement on its debt.

Among the sacked executives were finance director James Corr and chief operating officer Ian Cummine.

Twelve other staff are facing disciplinary action as a result of the “breakdown in controls”, which resulted in the firm failing to set aside enough money to cover bad debts and an £850million black hole in its accounts.

The six executives had already been suspended.

Audit committee chairman Margaret Young will take over from Postings in the job of executive chairman while Robert East, who has been leading the company’s discussions with banks, will join the board in the new post of chief restructuring officer.

The firm said it remains in “close talks” with its debt holders. Its shares are suspended.