The former boss of a Manchester-based accident claims company who sacked his 2,500 staff by text message has died in a car crash in Spain.

Multi-millionaire Mark Langford, the former head of personal injury insurance firm The Accident Group (TAG), was killed in a road accident in the resort of Marbella where he lived with his wife Deborah.

Mr Langford was the founder of the firm which collapsed in 2003 with debts of about £100m.

Revenue and Customs were pursuing Mr Langford for unpaid tax.

TAG's employees received no redundancy money and the company was liquidated in January 2004.

A Foreign Office spokeswoman said they were unable to confirm details of the crash, which is believed to have occurred in the early hours of Tuesday morning.

According to reports, Mr Langford was served with a tax demand as he prepared to host a party on board his £1.5m yacht in southern Spain. Mr Langford, aged 42, and his 40-year-old wife also own a mansion in Congleton, Cheshire.