Playboy mogul Hugh Hefner has reportedly been ordered to fire a handful of his staff - or face bankruptcy.

Hefner has become the latest victim of the global credit crunch after he was advised to dismiss employees in his Los Angeles and New York offices.

According to British newspaper the Daily Telegraph, the situation has been worsening for "a while". A source tells the publication, "Only the top brass has known for a while how bad things have been for Hef recently."

However, Hefner's spokesperson Elizabeth Austin would neither confirm nor deny the financial problems, saying, "It is our policy not to comment on corporate matters such as employee issues."

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(This news article provided by World Entertainment News Network)