The US Justice Department has launched a probe into accounting practices at AOL Time Warner in part linked to its dealings with Wembley plc, it emerged today.

Shares in the world’s largest media company plunged today as it faced a probe into its accounting practices in part linked to its dealings with Wembley plc.

Bob Pittman has stepped down as chief operating officer of AOL Time Warner in a shake-up at the world’s largest media company.