Versailles, under investigation by the Serious Fraud Office, the Department of Trade and Industry and the Stock Exchange, overstated the number of clients in the book by as many as 300 companies - up to six times more than it really had, reports The Times.

The string of investigations, which were stepped up last Wednesday as Versailles went into receivership, is expected to widen this week. The investigations began after a black hole was discovered in the company's accounts that resulted in the suspension of its shares last December, when the company was valued at £631m.