The receivers of defunct medical agency Corinth are investigating allegations of data theft that occurred before the company went into administration last month.

Recruiter has learned the allegations relate to the passage of sensitive business information before the company went into administration on 13 October.

A statement from Ernst & Young warned that some timesheets could have been passed on to other agencies, even though they do not have the right to process them.

A spokeswoman for Ernst & Young added: “We are aware of an allegation of information being passed on to another agency and we are looking into this matter.

“The investigation is ongoing and we cannot comment – but we believe this was an isolated incident that took place before the date of our appointment.

“We will investigate any rights of action the company might have in order to realise value.”

Corinth operated for more than 30 years and ran four sites across the UK, employing about 130 people.

Financial results from Companies House have revealed how far Corinth has fallen since March last year, when it produced its last set of results.

Pre-tax profits were £2.3m on a turnover of nearly £36m and the company’s highest paid director received a salary of £116,000.

Director Richard Gawthorne, who was appointed on 23 December last year, told Recruiter: “The bank appointed administrative receivers – this was down to market conditions and overall demand.”

Medacs, which is owned by the recruitment giant Corporate Services Group, will pay former Corinth contractors and bill its clients and customers.