Dr Liam Fox's ministerial future was in serious doubt after an official report uncovered new evidence of his personal and official links to his self-styled adviser and defence consultant, Adam Werritty.
Initial findings of a civil service inquiry into the Defence Secretary's professional dealings with Werritty revealed that:
* Officials in Fox's private office were ordered to provide details of his diary to Werritty on several occasions after he became secretary.
* Werritty was present with Fox on 18 separate foreign trips since he took office in May last year. These included official visits, conferences, mini-breaks and family holidays.
* Werritty met Fox on an additional 22 occasions at the Ministry of Defence headquarters in London - many times without officials present.
On one occasion Werritty attended a meeting with the new British ambassador to Israel and on another he organised a meeting at MoD headquarters with a Sri Lankan visitor.
It also emerged that Fox instructed officials in his private office to write a briefing note on a technology which had been demonstrated to him at a controversial meeting in Dubai with a defence contractor organised by Werritty.
That meeting had been facilitated by a lobbying firm paid thousands of pounds by the manufacturers of the technology. At the meeting, no officials were present and no one in the MoD knew it was taking place.
Yesterday, Downing St announced a wider investigation into Werritty's activities to be overseen by the Cabinet Secretary, Gus O'Donnell. This will include a trawl of the department's email archive for contacts between the two men and correspondence between Werritty and Fox's private office.
Last night, officials suggested that Ursula Brennan, the Permanent Secretary in the Ministry of Defence, would be interviewing Werritty to establish whether he profited from his close links with Fox.
The minister has already conceded that Werritty had "defence-related business interests" but the department has been unable to specify what these are.
Downing St said that Foxstill had questions to answer.
A spokesman said: "It is clear that serious mistakes were made in allowing the distinction between professional responsibilities and personal loyalties to be blurred - and this has clearly raised concerns about impropriety and potential conflicts of interest.
"Following these interim findings the Prime Minister has asked the Cabinet Secretary to work with the Permanent Secretary to complete the report, addressing all the remaining questions that have been raised by this issue."
Officials said that although the links between Fox and Werritty were known within the MoD , there was surprise at the extent of what was uncovered in just the brief inquiry carried out by Brennan.
Officials say that Brennan and her team were particularly concerned that Fox had asked his private office to provide details of his diary to Werritty on what appeared to be a regular basis in addition to providing the information, on other occasions, himself.
A source said: "This was against ministerial practice and also breached security guidelines."
Fox's aides have denied a report that Air Chief Marshal Sir Jock Stirrup, then Chief of Defence Staff, and Bill Jeffrey, at the time the most senior civil servant at the MoD, warned the Defence Secretary about his trips abroad with Werritty.
In a contrite statement to the House of Commons Fox apologised for not being more transparent in his dealing with Werritty.
Werritty had no access to confidential information, he said, and did not profit personally through their connection.
- Independent