Staff at Barkers Motor Group's Peugeot and Citroen dealerships have been sent home after the franchises were reportedly withdrawn this morning.
Sources have told AM that the carmakers are removing funded stock from its dealerships in Yorkshire.
Its Richmond outlet confirmed over the telephone that it is no longer selling new Peugeots at its Malton site. Citroen franchises in Grimsby, Richmond and Leeds have ceased trading.
AM is awaiting confirmation from the French manufacturers, and has left messages for Barkers' chairman David Plummer.
Kia, which Barkers represents at Leeds and Richmond, told AM its franchises have not been affected.
Earlier this month local rival dealer Browns Peugeot at Louth near Grimsby ceased trading after its sales and service franchise was cancelled.