Former Baugur boss Jon Asgeir Johannesson transferred more than half a million pounds out of his accounts after the High Court issued a worldwide freezing order on his assets, according to reports.
The High Court has frozen another £585,648 sent by Johannesson to four different accounts, following the initial freezing order on May 11, according to Daily Telegraph.
The new order was made at the request of nationalised Icelandic bank Glitnir. The bank is suing him and a number of his associates for $2bn (£1.4bn).
Johannesson argued in court that the transfer requests had been put through before the first order and were made to pay off debts, however, the judge ordered the assets to be frozen.
Johannesson was the biggest shareholder in bank Glitnir, and was the boss of Baugur as it snapped up swathes of the UK high street including stakes in department stores House of Fraser, Debenhams, toy chain Hamleys and womenswear chains Oasis, Karen Millen, Coast, Whistles, All Saints and Jane Norman.
Baugur collapsed in to administration in March last year. Glitnir claims that Johannesson led a conspiracy to defraud the bank of $2bn (£1.4bn), something Johannesson strongly denies.
Last month, Johannesson claimed he had only £1m in assets left following the collapse of the Icelandic banking crash.