Under-fire Basildon College head Chris Chapman has been suspended while an investigation into alleged mismanagement is launched.

The college's board of governors made the decision after two days of round-the-clock crisis meetings.

Chairman Tom Coventry said governors were confident Mr Chapman would be reinstated and that the suspension was standard procedure. The move follows one of the worst weeks in the college's history.

The Further Education Funding Council announced on Monday it was to detach a special investigation squad after the college received its third worst annual report ever.

The team will look at declining educational standards, claims of intimidation and bullying of staff by management and the college's deteriorating financial position.

Unions have already called for Mr Chapman's head after he announced plans to axe 40 staff at the end of the summer term.

It is not clear how long the suspension will last. Mr Coventry said: "We are sorry to announce that Chris Chapman has been suspended pending an investigation by the Further Education Funding Council into alleged mismanagement.

"The suspension in no way prejudices the outcome of the investigation. This is a precautionary action to both safeguard him and the college while the investigation takes place. This is standard procedure in the given circumstances."

The report blasted the college on all fronts. Teaching and management in eight of the ten areas assessed, were rated less than satisfactory.

It also criticised student achievement, student retention and attempts by the management to lift the college from its third-from-bottom standing in the national league tables of 1996/97.

Mr Coventry backed Mr Chapman's claims that the recent changes imposed had not had time to take effect.

He said: "The board fully supports Mr Chapman who has turned the college around from one which three years ago had bad results, to one which has experienced substantial improvement in overall achievement.

"It is unfortunate the inspection only centred on historical data and not on the current trends.

"As soon as the investigation is over the board is confident Mr Chapman will be reinstated."

College staff from the university and college lecturer union NATFHE today announced they were suspending a ballot on industrial action until the results of the investigation were known.

Under fire - college head Chris Chapman

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