A businessman whose firm helped look for Madeleine McCann has been remanded in custody after US authorities launched extradition proceedings over an alleged £1.3 million fraud.

Kevin Halligen, 48, was due to apply for bail at a hearing in London, but did not attend.

District Judge Caroline Tubbs remanded Halligen in custody and adjourned the case until January 27.

Melanie Cumberland, acting for the US Government, said Halligen was wanted in connection with a ''wire fraud and money laundering".

Halligen's firm, Oakley International, was used by Kate and Gerry McCann last year.