Scots airline fraud probe is dropped

INVESTIGATORS have dropped a major fraud probe into the firm blamed for the collapse of Scottish airline Flyglobespan, it was reported today.

The Serious Fraud Office had been conducting an investigation into credit card company E-Clear.

But officials said there was "insufficient evidence" to pursue a prosecution against E-Clear, which went bust early last year owing an estimated 127 million.

The Mayfair-based business, run and owned by Cypriot entrepreneur Elias Elia, went into administration in January 2010 just a few weeks after Flyglobespan and its parent company Globespan went under.

One investigator said: "Following a review of the case, a decision has been taken to close the investigation as there is insufficient evidence to give rise to a realistic prospect of conviction."