Administrators of Von Essen Hotels are reported to have contacted City of London police over concerns about accounting irregularities.
This focuses on how a loan, believed to be thought to be around £30 million, had been spent prior to the luxury hotel company collapsing into administration.
It is not certain whether the police will decide to launch an investigation, the Daily Telegraph reported.
Administrators Ernst & Young are trying to establish whether the money was spent on the fabric of the hotels or on keeping the business afloat, which could include keeping up with interest costs.
Von Essen’s banks called in administrators last month after the company failed to keep up on the interest payments on its £250 million debt.
The administration covers the Von Essen Hotels holding company, Von Essen Hotels Ltd. Most other parts of the business have not been put into administration allowing the hotels to operate as usual.
In the most recent set of accounts the buildings are valued at £430 million but their current value could be well below that estimation.