CRISIS-HIT travel giant MyTravel has been plunged into more chaos as a rival holiday firm pulled its brochures off their shelves.

And as the Financial Services Authority announced it was launching an inquiry into the company's shock profits warning, shares in the business dropped by a further 30 per cent.

The bleakest month in the company's history became worse when customers started to desert Britain's second largest holiday company.

Rival travel giant Thomas Cook said 50 to 100 customers had already indicated they wanted to switch away from the troubled group.

Thomson, which owns the Lunn Poly chain, went further by putting a stop to sales of all MyTravel holidays in its 800 travel agencies.

And shares in the group plummeted to 20p in the City as a leading stockbroker said they were essentially worthless.

Dutch-owned ABN Amro said, while it doubted the company would go bust, the shares were now a "heavy sell" and set a target price of 0p.

MyTravel, formerly known as Airtours, stunned the City by warning on profits for the third time in just five months.

The group lost nearly two-thirds of its market value as it also revealed a potential £30 million black hole in its accounts.

Thomas Cook said it was reviewing whether to pull MyTravel brochures from its travel agencies because of its rivals' financial state.

But Thomson "de-racked" all MyTravel brochures -- including Panorama, Cresta, Manos and Airtours Holidays -- until further notice.