Tchenguiz brothers released by police

Robert Tchenguiz, the property tycoon who formerly invested in pub companies Mitchells & Butlers (M&B) and Laurel, and his brother Vincent were released by police last night after being arrested as part of the investigation into the collapse of Icelandic investment bank Kaupthing.

No charges were filed against the brothers, who were among seven men arrested yesterday as part of the operation that involves the Serious Fraud Office (SFO), the City of London Police and investigators from Iceland.

The SFO's investigation into the matter is continuing.

Robert Tchenguiz had borrowed more than one billion pounds from the bank as part of his investments in M&B and Laurel, among other companies.

In a statement released yesterday, the Tchenguiz brothers said: "We were arrested earlier this morning and are being questioned with regard to matters relating to our relationship with Kaupthing Bank.

"Both of us are cooperating fully with the investigation and are confident that, once concluded, we will be cleared of any allegation of wrongdoing."

The collapse of Kaupthing in 2008 has been under investigation by authorities in Iceland and Luxembourg.