Silvio Berlusconi was embroiled in fresh controversy yesterday as prosecutors opened an inquiry into allegations that showgirls were paid to attend parties at his villa in Sardinia and his residence in Rome.

ANSA, the Italian news agency, confirmed that the prosecutor’s office in Bari in southern Italy was seeking to establish whether payments to women to attend “private residences in Rome and Sardinia” had involved “induction into prostitution”.

The Italian Prime Minister had hoped to repair his battered image by portraying himself as an international statesman. On Monday he met President Obama in Washington before the G8 summit he is hosting in the city of L’Aquila next month.

However, no sooner had he returned to Italy than fresh allegations emerged about his private life.

Corriere della Sera, Italy’s most authoritative newspaper, reported on an investigation into alleged corruption involving contracts for the supply of equipment to hospitals in the Bari area by Tecnohospital, owned by two brothers, Giampaolo and Claudio Tarantini. Investigators said that in tapped telephone conversations Giampaolo Tarantini had referred to payments to women to attend parties given by associates, including Mr Berlusconi. Reports said Mr Tarantini owned a villa at Porto Rotondo on the Costa Smeralda in Sardinia, close to Mr Berlusconi’s seaside estate, and had known him “for some years”.

The newspaper also interviewed Patrizia D’Addario, a former model and television showgirl from Bari. She had been asked to attend a party at Palazzo Grazioli, Mr Berlusconi’s residence in Rome, last Ocober by someone she referred to as “Giampaolo”. “I said they would have to pay me, and we agreed on €2,000,” she said.

Mr Tarantini refused to comment. Nicola Quaranta, his lawyer, told ANSA: “We know absolutely nothing about the existence of an investigation into alleged induction into prostitution, nor has the prosecutor’s office notified us of any such investigation.”

Mr Berlusconi, already reeling from his highly public divorce battle, was outraged by the new reports: “Once again they fill the newspapers with rubbish and falsehoods. I will certainly not allow this aggression to affect me, and I will continue to work as ever for the good of this country,” he said.

Mr Berlusconi’s private life has been in the news since Veronica Lario, his wife, demanded a divorce after he attended the 18th birthday party in Naples in April of an aspiring model, Noemi Letizia. Ms Lario accused him of “frequenting under-age girls” and said he was “not well”.

In yesterday’s interview, Ms D’Addario said she had joined about 20 other women for pizza and champagne at Mr Berlusconi’s Rome palazzo. He had shown them a video of his meetings with President Bush and photos of his Sardinian villa, and had sung songs and told them jokes. “I knew he was struck by me because he asked what work I did, and I told him about a residential hotel I hoped to build,” she said. She had returned to her hotel for the night, and had been paid only €1,000 — half the agreed sum — “because I did not stay”.

She had returned “a few weeks later”, on the night of the US presidential election (November 4, 2008). This time, however, the only guests were herself and two other women. When Mr Berlusconi saw her, “he immediately remembered my building project. Then he asked to me to stay.”

Ms D’Addario claimed she had tape recordings of both encounters. “You can hear his voice on them, and there are many witnesses.”

She said Mr Berlusconi had phoned her when she returned to Bari, and a few days later “Giampaolo” had invited her to return, “but I refused”. She said the Prime Minister had promised to send “two of his trusted people” to Bari to help her to unblock obstacles to her construction project, “but he did not keep to his agreements, and from that moment I had no wish to go back, despite repeated invitations”.

She said she had been asked to stand as a candidate in the European elections, but this had been dropped after the row that erupted when Ms Lario publicly objected to her husband’s plans to field “showgirls” as Euro MPs. Instead, she had been asked to stand in local elections in Bari for a local movement aligned with Mr Berlusconi’s ruling People of Liberty party.

However, when Mr Berlusconi arrived in Bari for an election meeting at the end of May she had been prevented from entering by security guards. She said she had been cheated. “I only asked for help in a project which means a great deal to me, but instead they used me.” She said her home had been burgled, with thieves taking her computer, her CDs and her clothes, including her underwear”. “It was a very strange burglary” she said.

Niccolo Ghedini, Mr Berlusconi’s lawyer said: “Even if what this girl says is true, which it is not, the Prime Minister, according to her reconstruction, would be the end user and therefore not punishable by law.”

THE STORY SO FAR...

April 28 Mr Berlusconi's wife denounces as “shamelessly tacky” his party’s plan to put forward “showgirls” as potential MEPs. A few days later she tells the press she is seeking a divorce

May 2 He attends the 18th birthday party of an aspiring lingerie model, Noemi Letizia, giving her a diamond necklace

May 24 Ms Letizia’s ex-boyfriend contradicts Mr Berlusconi’s claims that the Prime Minister met the 18-year-old through her father

June 4 Mr Berlusconi admits he is being investigated after using government aircraft to fly guests, including young actresses, to his Sardinia villa. The investigation is later dropped

June 5 Mr Berlusconi’s lawyer tries to prevent a Spanish newspaper printing pictures of a party held at the villa in May, which includes topless women

June 13 The photographer says there are worse images to come, including a “mock marriage” between the Italian Prime Minister and a woman in her twenties

June 15 Mr Berlusconi says a “palace coup” is planned to replace him with an unelected leader

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