Loan ‘irregularities’ led to collapse of Prax Lindsey oil refinery

Administrator was appointed after parent company State Oil was given new information about 783m loan

The Prax Lindsey oil refinery collapsed after material irregularities" were discovered in a complex 783m loan facility that funded the wider group, it has emerged.

The refinery on the Humber estuary in northern England - one of just five left in the UK, - was suddenly plunged into administration in late June, prompting calls from furious government ministers for an investigation into Winston Soosaipillai, Prax Group's oil tycoon owner.