THE boss of a York-based compensation claims company says it is trading as normal, despite its “Secret Millionaire” part-owner going bankrupt.

Property developer Chek Whyte, who appeared in the Channel 4 series in 2007 to give money to deserving causes in Salford, owns 50 per cent of Barrington Whyte Consumer Credit Services, based at Stillington.

The business’s other owner, sole director Mark Hodgson, was one of a number of people arrested earlier this year in connection with the collapse in 2008 of York-based property investment company Challenor.

Mr Hodgson has not been charged and Barrington Whyte and Challenor are entirely unconnected.

Barrington Whyte, which trades as Credit Compensation UK, is licensed by the Ministry of Justice to help victims of overcharging by banks and insurance companies.

Two hundred credit advisers across the country work for it, some of whom paid £1,695 each, plus £86 a month, to become local agents of the company, allowing them to operate and advertise under its name.

They work for victims of financial services mis-selling in re-claiming bank charges or insurance premiums, in some cases on a no-win, no-fee basis.

A national newspaper has reported that the agents were facing an uncertain future following Mr Whyte’s bankruptcy, but Mr Hodgson strongly denied this to The Press. “It has not affected us in any way whatsoever,” he said.

Mr Hodgson said Mr Whyte had put in a sum of money when the business was launched in spring last year but had had no involvement in running the business. Mr Hodgson said he had not even been aware of the bankruptcy until someone had shown him an article about it.

He said he was confident he would be exonerated over his involvement in Challenor, saying: “I didn’t do anything wrong. I have a clear conscience.”

Mr Hodgson was one of four people arrested in January by North Yorkshire Police on suspicion of conspiracy to defraud and money laundering, prior to being released on bail pending further inquiries.

Police have been investigating Challenor, based at Westminster Business Park, near Poppleton, since it collapsed in May last year, leaving scores of worried investors across the world fearing they might have lost a total of £2 million.

Police revealed in June this year that they were asking the American and Spanish authorities to help with the Challenor probe.