Plusnet founder threatens to sue BT for sacking

Lee Strafford, founder and former chief executive of Plusnet, has threatened the telecoms company's new owner, BT, with legal action after his shock dismissal earlier this week.

Mr Strafford, alongside finance director Neil Comer, was unexpectedly dismissed with immediate effect on Monday for misconduct. Neither executive received a pay-off from BT, which acquired the company in January. Mr Strafford declined to comment.

A source said that Mr Strafford and Mr Comer were dismissed after being accused of plotting to establish a new business that would have been to the detriment of Plusnet. The source said that Mr Strafford was "flabbergasted" at BT's behaviour after he had been called to the meeting to discuss Plusnet workers' remuneration, not "ludicrous accusations".

The source said the plan in question involved rolling out Plusnet's software platform internationally with the help of BT. The plan had been under discussion since last summer and the source said BT was aware of the expansion plan during its acquisition of the company.

The source said that Mr Strafford has not had the opportunity to discuss the plan with BT since Plusnet was acquired as the larger company had not scheduled a board meeting over the past three months.

At the time of BT's acquisition of Plusnet, BT said it had no plans to make any changes to the smaller company's key management and strategy.

BT declined to comment on the sudden departures.

Neil Laycock has taken up the post of acting chief executive.