Almost 500 cruise passengers, including about 80 Scots, were stranded in Madeira last night after their vessel was impounded by port officials in connection with an alleged debt relating to its previous operator which went into administration.

The Van Gogh, which has about 460 passengers on board and was on the final leg of a round-the-world trip, was held on Tuesday shortly after it berthed at Funchal.

The voyage, which cost up to £9000 per person, took in the Mediterranean, Egypt, the Caribbean, Ecuador, Tahiti, New Zealand, Sydney, Mauritius and Cape Town.

It set off from Falmouth on January 4 and was due back in the Cornwall port on Saturday.

The holidaymakers had originally booked the cruise through Travelscope but, after the tour operator went into administration, travel organisation Abta arranged for the trip to go ahead on the vessel, owned by Dutch company Club Cruise.

A spokesman for Cheltenham-based Van Gogh Cruise Line Ltd, which is a subsidiary of Club Cruise, last night said passengers were being fully catered for and were free to come and go from the vessel as they pleased.

The spokesman said he hoped the vessel will be allowed to continue her journey today. However, it was unclear last night whether this would happen.

A statement issued by the cruise line said passengers were preparing a petition to be sent to Abta to request it arranges immediate repatriation back to Falmouth on the Van Gogh.

An Abta spokesman said it was aware of the cruise ship's situation and was monitoring it. However, it said the cruise line was not bonded to Abta.

The cruise line's statement said: "We were informed late yesterday, (Tuesday) as the courts were closing, that Travelscope's joint administrators had obtained an order detaining the vessel in respect of alleged claims against the owners of the vessel in relation to the previous charter agreements with Travelscope.

"Currently Club Cruise's lawyers are liaising with the authorities in an effort to prevent further delay by allowing this matter to be handled on return to Falmouth, to minimise further distress to our passengers. However, the administrators have so far refused to allow this."

A passenger last night said he did not know if, or when, the vessel will set sail.

"We appear to be held to ransom by the receivers of Travelscope who are holding the ship here," he said, adding that there is a "Dunkirk spirit" on board.

More than 200 jobs were lost and the holiday plans of 40,000 people were wrecked after Travelscope ceased trading in December.

It is not the first time the Van Gogh has encountered problems.

Travelscope is facing legal action following the death of passenger Pat Horn, 78, from Cheltenham, in 2006 after she allegedly caught the Norovirus on a cruise. It had to be cancelled and passengers refunded. The action stopped banks lending money to the company.