WPP chief executive Sir Martin Sorrell has hit back at the allegation that he misused company funds.

A statement issued by WPP revealed the company has appointed “independent counsel to conduct an investigation in response to an allegation of personal misconduct” against Sorrell.

“The investigation is ongoing. The allegations do not involve amounts which are material to WPP,” the statement said.

The Wall Street Journal first reported the allegations against Sorrell. It also reported that WPP’s board was also examining whether he misused company assets.

However, WPP’s chief has rejected the allegation of financial impropriety against him.

“This allegation is being investigated by a law firm. I reject the allegation unreservedly, but recognise that the company has to investigate it. I understand that this process will be completed shortly,” he said in a statement to AdAge.

“Obviously, I shall play no part in the management of the investigation under way.

“As a significant share owner, my commitment to the company, which I founded over 30 years ago, remains absolute – to our people, our clients, our shareholders and all of our many stakeholders. I do not intend to make any further statement at this time.”