At the latest in a succession of preliminary hearings, a judge at Wood Green Crown Court ruled that the time taken to bring the case of Shinder Gangar and five other men to court - from his arrest in 2001 - meant it was no longer fair to continue with the trial.

Gangar, who was a partner in Dobb White & Co, immediately issued a statement saying the duration of the case - almost four years - had had a 'devastating effect' on his business and family. He said that he was 'dismayed that the justice system could have allowed this to happen.'

Gangar, fellow partner Alan White and four other men saw the charges against them permanently stayed during a hearing in September due to the delay in bringing the case to trial.

Gangar has consistently denied the charges, which involved two bankers drafts handled by his firm and a cheque drawn on a solicitor's account.

'The trial should have been brought in a reasonable time. This would have enabled me to clear my name and attempt to reverse the negative publicity in time to limit the massive damage caused,' Gangar said.

He said he and his firm had no reason to suspect the funds had originated from anywhere else other than the selling of property investments disclosed by the client.

Gangar criticised the police for their investigation and demanded an apology from the CPS, Serious Fraud Office and the Leicester Economic Crime Unit.