International metals group GFG Alliance, which owns Fort William aluminium smelter, is under investigation by the Serious Fraud Office (SFO).
The SFO said the probe was focusing on suspected fraud, fraudulent trading and money laundering, including its financing arrangements with failed company Greensill Capital UK.
GFG, which is headed by entrepreneur Sanjeev Gupta, said it will co-operate fully with the investigation.
In a statement, the SFO said: “The SFO is investigating suspected fraud, fraudulent trading and money laundering in relation to the financing and conduct of the business of companies within the Gupta Family Group Alliance (GFG), including its financing arrangements with Greensill Capital UK Ltd.
“As this is a live investigation, the SFO can provide no further comment.”
GFG, which also owns Liberty Steel, acquired the Fort William smelter, associated hyrdo power plants and the surrounding estate in 2016. Around 200 people work at the Lochaber aluminium plant, which is the last of its kind in the UK
In 2017-18, GFG’s energy arm, Simec, bought 49% of Atlantis Resources, which was renamed Simec Atlantis Energy. It is the operator of the MeyGen tidal array in the Pentland Firth.
A GFG spokesman said: “GFG Alliance notes the UK Serious Fraud Office’s announcement that it has opened an investigation into GFG Alliance.
“GFG Alliance will co-operate fully with the investigation.
“As these matters are the subject of an SFO investigation we cannot make any further comment.
“GFG Alliance continues to serve its customers around the world and is making progress in the refinancing of its operations which are benefitting from the operational improvements it has made and the very strong steel, aluminium and iron ore markets.”