The former chairman and co-founder of troubled Torex Retail this week stepped down from his role in another firm as a fraud investigation continues.

Former Abingdon School pupil Robert Loosemore, who has had his home searched by the Serious Fraud Office, resigned as non-executive director of spread betting company London Capital Group.

The prominent member of the North Oxford Tennis Club was chairman of Witney-based Torex Retail until September 2005.

Geoffrey Forster, a former Wantage bank manager, who is acting as Torex chairman while the SFO investigation progresses, also resigned his non-executive directorship at London Capital as well as the chairmanship of clinical research organisation Premier Research.

Frank Chapman, chairman of the London Capital Group, said: "The two have stepped down pending the outcome of the investigation at Torex.

"Whether the resignations are permanent or not depends on how long the investigation goes on. In time we may have to consider replacing them."

Mark Woodbridge was finance director at Torex before its merger with Isoft from June 2000 to December 2003.

He has also resigned from directorships at two listed companies listed on the Alternative Investment Market - telecoms firm AT Communications and healthcare company Ascribe.

Mr Woodbridge was voted the Young Business Person of the Year in the Oxfordshire Business Awards of 2004.

Earlier in the week both Neil Mitchell and Chris Moore stepped down from their roles as chief executive and non-executive chairman at Torex Retail respectively.

Mr Moore was also a winner in the Oxfordshire Business Awards. In 2000 he won the Business Person of the Year.

Torex Retail employs 65 people at its headquarters in Range Road, Witney, and 53 workers in Banbury.

It produces software for cash registers at firms such as Monsoon, McDonald s and Argos.

Last month, it suspended its shares on the London Stock Exchange (LSE) after warning that profits would be lower than expected, just eight days after unveiling a raft of new contracts.

The LSE is also investigating Torex and its stockbrokers for allegedly breaking rules on financial disclosure.