The company which bought Wrekin Construction two years ago has gone into liquidation following the collapse of the Shropshire construction firm.

The Tamar Group is one of several firms connected to Wrekin which have gone out of business, as administrators now try to track down the millions of pounds owed to more than 1,000 creditors of the Shifnal-based company.

Tamar was run by former Wrekin Group chairman David Unwin who bought the construction company in 2007. It went into administration in March with the loss of more than 500 jobs.

Records at Companies House show Mr Unwin resigned as a director of the Tamar Group on July 1, with Begbies Traynor appointed as the administrator.

Steve Curry, of Begbies Traynor in Stoke, today confirmed the company was placed into administration at Derby County Court and said Mr Unwin was co-operating fully with the ongoing inquiry. No date for a creditors meeting has yet been announced.

Mr Unwin was unavailable for comment today.

The Derbyshire company bought Wrekin two years ago when the Lamledge Lane-based firm was millions of pounds in the red. But the takeover transformed the construction firm’s balance sheet into showing a profit when Tamar sold Wrekin a 2kg uncut ruby, known as the Gem of Tanzania, in exchange for £11 million of shares.

The ruby had previously appeared in Tamar accounts with a £300,000 value but experts have since said its true value may never be known.

Administrators for the Wrekin Group and its subsidiary Wrekin Construction are chasing about £40 million owed to creditors of the companies, including a £20 million claim from the company’s pension scheme.

About £2 million of Wrekin’s money was invested or transferred to other companies connected to Wrekin and Tamar in the the 12 months prior to it going into administration.

Three of Mr Unwin’s companies have already gone into liquidation, including one which owed the Shifnal group more than £500,000.

The firms, London and Middle Eastern Group, Equatrek (UK) and Britannia Management Services, were all liquidated in April and May.

By Business Editor Amy Bould