The UK's accounting regulator has concluded its final investigation into one of Britain's most significant corporate collapses, fining two former Carillion finance directors a combined £282,000. Richard Adam and Zafar Khan were penalised for acting "recklessly" in preparing the construction group's accounts between 2013 and 2017, bringing an end to years of regulatory scrutiny.

Carillion entered liquidation in January 2018 with £7bn in liabilities and just £29mn in cash, despite employing 43,000 people worldwide including 19,000 in the UK. The government was forced to step in to maintain essential public services including school meals and hospital cleaning at taxpayers' expense. The FRC found misconduct affected several areas of the business including specific transactions, major UK construction contracts, and a supply chain finance facility.

Three unnamed accountants who worked on Carillion's accounts were also fined a combined £98,000. Separately, the Financial Conduct Authority had earlier this year fined Adam £232,800 and Khan £138,900 for failing to alert investors and the board to problems. The FRC reduced its fines to account for these previous penalties.