Mystery as Tudhope resigns from PPG

Published on Wednesday 2 December 2009 20:35

IAN Tudhope, the long-standing managing director of Sir David Murray's property company Premier Property Group, has resigned and will not be replaced.

Tudhope, described as Murray's "right-hand man", has been with the group for 23 years. Neither Tudhope nor Murray – who was abroad on business last night – gave a reason for his departure.

But it is understood the group will take a new direction as it attempts to sell parts of its property portfolio to pay off debts, mainly owed to Lloyds Banking Group.

Tudhope's resignation follows a review of the business implemented by Donald Muir, the new PPG board member and turnaround specialist. Muir, who is also on the board of Rangers FC, was placed at the centre of a storm after Ibrox club coach Walter Smith referred to him as "a representative of the bank".

Last night a spokesman for the group strenuously repeated denials that Muir represented Lloyds, and that he joined the board as a result of his expertise.

According to its most recent accounts, Murray's property empire was 572m in debt on assets with a net book value of about 390m. Much of the debt is held by Lloyds.

A spokesman for Murray International Holdings said: "I can confirm Ian has left the group.We would like to thank him for his outstanding service, loyalty and dedication over 23 years and for his many achievements as managing director in building, with his PPG colleagues, such a successful and substantial property company."

In statement, Tudhope said: "Although the last two years have brought many challenges and quite a few disappointments, we can still point with pride to a list of achievements."

PPG accounts for the largest part of Murray's business. In 2008 the group's profits fell by half to 5.5m. These include Princes Mall in Edinburgh, the Kingsgate shopping centre in Dunfermline and offices in Glasgow and London.