Mike Ashley has been called on by MPs to stop using an agency to supply workers to Sports Direct’s warehouse in Shirebrook.
The Sports Direct founder has been urged by the Business Select Committee to “terminate (his) working relationship” with staffing agency Transline.
The committee believed that Transline may have been misleading in their statement.
Ian Wright, the chairman of the committee, said he doesn’t believe Transline was completely honest about why it did not have an operating license from an industry watchdog.
He said: “(Transline had) deducted money from low-paid workers without proper explanation and justification".
In the evidence presented in June to the parliamentary committee, Transline were found to offer migrant workers pre-paid debit cards costing £10 a month the set-up, another £10 monthly fee and a 75p charge every time they used it.
This was dubbed a "tax on low-paid workers for the pleasure of accessing their wages".
It has been found that Sports Direct has no contract with either of its staffing companies, making the termination easier.
Wright highlighted Ashley’s declaration he wished to be like John Lewis or Selfridges, and said the use of Transline was “inconsistent with your own aspirations".
The staffing agency, also under investigation, has responded by saying MPs were biased against them and that they are astounded by the allegations.