COASTGUARDS have called off their search for a wealthy businessman feared drowned after his yacht was found washed ashore on a North-East beach.

John Hawe's abandoned 32-foot vessel, True Blue, was found by two walkers on the shore at Beacon Point, near Seaham, County Durham, on Monday evening.

Mr Hawe, 63, an experienced yachtsman who usually sailed alone, has been due back to Hartlepool Marina four hours before his boat was discovered at 7.40pm.

Coastguards from Hartlepool, Redcar and Sunderland immediately co-ordinated a massive air and sea search over a vast area of North-East coastline.

But after a fruitless search the operation was called off yesterday lunchtime.

His devastated family were last night fearing the worst at his bungalow in the affluent Leeds commuter village of Hunsingore, near Wetherby, West Yorkshire.

His wife Kathleen and children Sandra, Martin and Emma were waiting for news.

Emma, 27, said: "It's been a very trying time for us. My father is a very experienced yachtsman, he has sailed all over Britain and Europe and as far away as the Azores.

"It is his greatest love and he spends a lot of time out to sea, often alone. He was sailing alone on this occasion and the boat was washed ashore without him inside. We are waiting by the phone."

Mr Hawe runs an agricultural engineering company near his home after he helped found it 31 years ago.

Fellow sailors at the yacht club where Mr Hawe was a member - Tees and Hartlepool Yacht Club - were yesterday mourning their loss.

Club president Harold Usherwood said: "It is a real tragedy. It came as a great surprise to all of us because he was such an experienced yachtsman.

"I can only think that he slipped or fell overboard.

"I have been sailing these parts for the last 50 years and this has not happened before."