Row-hit Collins on slide again

THE row at Collins Stewart intensified today as sacked analyst James Middleweek issued a statement hotly denying the broker's blackmail claim and Collins shares slid for the third day running.

Middleweek and his lawyer Dale Langley categorically denied a claim that he had tried to blackmail Collins by offering to bury a damaging report in return for a £2.4m payment.

They said Collins' complaint to police was 'a matter of considerable surprise' because the broker subsequently made two offers of about £460,000 to settle Middleweek's wrongful dismissal claim.

Collins shares fell 10p to 417 1/2p as Middleweek's allegations about questionable practices focused attention on the firm's patchy flotation record.

Its value has fallen by more than £150m in three days on worries that the allegations, being examined by the Financial Services Authority, could damage its reputation.