A lifestyle app backed by Sarah Ferguson received more than £1m of taxpayers' money but collapsed without ever launching a product, according to documents filed this week.
vVoosh was founded by Manuel Fernandez, a close friend of Ms Ferguson, who once described herself as an "ambassador" for the company and was an investor.
It promised to give users "the power to Find, Plan, Share, Live, and Remember all the things you love to do - and those you're yet to try."
Ms Ferguson and Mr Fernandez did not respond to requests for comment.