EMPIRE ONLINE received a written warning that its vital relationship with fellow gaming group Party Gaming might be changed — but did not tell investors about the letter in the prospectus for a float earlier this year.

According to The Times, in its prospectus, the group raised the possibility of such a move, but said it “will not materially affect the revenues of the group”. It also said the directors were unaware of any intention by Party to terminate the companies’ partnership agreement.

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