Bosses of one of the UK’s largest business groups have wiped out an elected group overseeing its work in Kent in a row started over an unpaid bar bill.

The Federation of Small Businesses (FSB) has replaced its Kent and Medway regional committee after an investigation into the way its activities in the county were being run.

The organisation is also closing its office in the Business Terrace in Maidstone as part of a restructure launching a new regional administration, covering three of its former areas.

Key figures who have been axed from the committee include chairman Bill Fox, who runs business coaching firm Kent Business Academy, treasurer Neville Gaunt of coaching firm Mindfit and education and skills chief Paul Andrews of Jobs in Kent.

It has also made its regional office administrator Sue Waldock redundant as part of the reorganisation.

The decision came following a fallout between members of the committee after it reneged on a commitment to sponsor a table and drinks at a business awards.

The national FSB board received allegations of infighting within the group, members not declaring interests and money being spent without approval.

Although an investigation found no one guilty of any wrongdoing, in July it made the surprise move of dissolving the committee, which was elected by members in Kent.

It criticised the management of the region and said decision-making was unclear, adding that divisions between committee members were getting in the way of its work in the county.

It replaced the committee with a smaller steering group chaired by a non-operational director on its national board, David Miles.

Other former committee members include secretary Sarah Poole of Westenhangar Castle, Daniel Sangiuseppe of Castlewood Hotels, Lorraine Pargeter of Pargeter Public Relations, Roger Williams of Intelligent Linking and Deborah Turner of You Image Consultancy.

However, some members have stayed on the steering group, including policy leader Zoe Cairns of ZC Social Media, David Milham of ASC Finance for Business and Stephen Askew of Haines Watts.

Mr Fox said the way the FSB board handled the dispute was “appalling”.

“I feel like I have been treated like a criminal..." - Bill Fox, former FSB Kent and Medway chairman

He said: “What have they done to defend the honour of the people working on this committee?

“I feel like I have been treated like a criminal. They didn’t tell us the allegations and didn’t interview the regional team. They have just made the decision.”

FSB Kent steering group chairman David Miles said: “FSB is undergoing a national modernisation programme. As such a Kent and Medway steering group has been constituted to replace the FSB regional committee.”

He added the steering group has three main tasks: overseeing a continuing programme of activity in the region; putting that programme of activity in a business plan and developing a plan to benefit all members in the region.

The FSB is due to hold its Kent AGM next month.