In an official statement BADA said: “[We have] looked into the allegations made in The Sunday Times article (6th April 2008) concerning our member, John Hobbs. We have received full cooperation from Mr Hobbs and subsequent to a meeting with him held on May 6, Mr Hobbs has tendered his resignation, which has been accepted.”

In a front page article in The Sunday Times it was alleged that John Hobbs had sold as genuine antiques, furniture that was largely the creation of his restorer Dennis Buggins.

The dealer immediately denied any wrongdoing or ever having knowingly sold a fake.

BADA’s code of practice insists an item sold as antique should be in substantially the same condition as when first made and not added to or altered to any material extent.

Mark Dodgson, deputy secretary general of BADA, told ATG at the time: “The article is not good publicity for the trade but we want to be fair. These are, as The Sunday Times conceded, simply allegations at this stage.”

Mr Hobbs still has to face and answer the allegations but his resignation has at least spared any drawn-out investigation by BADA which could only have meant even more bad publicity for the top end of the British trade.

Meanwhile, there is increasing disquiet in the upper end of the American trade at the prospect of revelations resulting from any ongoing investigations into the Hobbs affair. John Hobbs did much business and had a base in New York and has many high-value antiques in prestigious American collections.

When contacted by ATG, Mr Hobbs declined to comment.