Mystery as oil tycoon suspended by firm

Calum Melville, who is also one of Scotland's most prominent football club directors, has been suspended from his executive post with Grimsby-based Cosalt while the company carries out an internal review of the group's businesses in Aberdeen, where he heads the company's offshore division. His brother Stuart, who is the operations director of the offshore unit, has also been suspended as part of the internal investigation.

Mr Melville, 41, who is reputed to have a personal fortune of at least 80 million, resigned with immediate effect as a director of Cosalt on Monday as his suspension was reported to the London Stock Market, causing Cosalt's share price to plummet by over 22 per cent to 3.88p.

He is, however, to continue in his role as a director of Dundee Football Club where he has emerged as a major benefactor in the club's drive to return to the premier league. And a spokeswoman at Dens Park yesterday insisted it was "business as usual" as far as Mr Melville's directorship was concerned.

Cosalt announced in a brief statement: "Cosalt, the specialist provider of critical safety equipment and services for the offshore oil and gas and marine industries, announces that Calum Melville has resigned as a director with immediate effect and that he has been suspended from his day-to day employment duties as head of offshore division, whilst the company carries out an internal review of the operating practices of the group's businesses in Aberdeen."

A spokesman for the company confirmed that Mr Melville's brother, Stuart, had also been suspended as part of the internal review.

The official spokesman declined to outline the reasons behind the need for a review of operating practices at the offshore division in Aberdeen. But he added: "The police are not involved. We don't believe anything illegal is going on, but obviously until the review has been completed there is nothing extra to add."

Sandy Gowing, technical director of Cosalt Offshore, is understood to be acting as interim managing director of the division following Mr Melville's suspension.

Mr Melville, who lives with his wife Susan and three children, Scott, 16, Sophie, 13, and Louise, six, in Aberdeen's upmarket West End, could not be contacted yesterday. He started his business career at the age of 21 when he and his father, Alistair, set up Grampian Test and Certification, with the help of a loan of 30,000 from the former Scottish Development Agency, to provide lifting equipment and services to the offshore oil and gas industry.

He and his brother took over the company, renamed GTC, in 2002 before the firm was bought by Cosalt for a reputed 30 million in 2007.

Within a year of the takeover, the offshore division's annual turnover had reached more than 41 million.

He has other business interests including hotels, property and oil and gas industry investments, and he and his brother have an estimated combined wealth of 161 million, according to the latest Sunday Times Rich List.

Mr Melville joined the Dundee FC board in March of last year, and is reported to have invested in excess of 1m in in the club's failed bid to win promotion.

Where safety comes first

COSALT is one of Britain's leading suppliers of safety equipment and services for the offshore oil and gas and marine industries across the globe.

The company, headquartered in Grimsby, supplies everything from life rafts to life jackets to specialist lifting equipment. It offers a wide-ranging marine inspection, testing and certification service for the marine and offshore industries.

Cosalt Offshore has 240 staff based in Aberdeen and further 110 in Stavanger in Norway and Lowestoft in Suffolk. The division's principal base is at Bridge of Don in Aberdeen. The company's website states: "We are absolutely committed to ensuring the safety of people exposed to hostile environments - on land and at sea - through the manufacture, supply and servicing of critical safety equipment."