Barratt Developments’ London managing director arrested

Barratt Developments Plc said it suspended London regional managing director Alastair Baird after he was arrested.

The arrest follows an internal inquiry into “possible misconduct in the process for awarding and managing certain material and sub-contract supply contracts” in the UK capital, the company said in a statement.

Barratt referred the findings to the police in April this year. Mr Baird did not immediately answer a call to his mobile phone.

A spokeswoman for the Metropolitan Police Service declined to comment. "We are committed to meeting the highest ethical standards in all aspects of our business," Chief executive David Thomas said in the statement.

“We have acted decisively, launching our own thorough and comprehensive investigation and referring the matter to the Metropolitan Police.”

The company does not expect any “material adverse financial effect” from the investigation, it said.

Barratt shares pared gains after the announcement. The shares were up 1.45 per cent to 490.8 pence at 11:23 am in London trading.

– (Bloomberg)