Whitney Houston has denied claims she is penniless after spending $100 million.

The troubled star's representative has told CNN rumours her Fortune is "gone" and she is "flat broke" are preposterous because she has just made a movie.

The spokesperson said: "It's totally false and ridiculous. She just made a movie with Jordin Sparks - 'Sparkle'.

"People get paid to make movies. She's not broke."

Earlier this week it was claimed Whitney - who has overcome crack cocaine addiction in the past - may end up homeless because of her lack of funds.

A source said: "Whitney's fortune is gone. Music industry heavy hitters are supporting her and her label is fronting her cash against her next album, but no one knows when that will be released ... She might be homeless if not for people saving her. She is broke as a joke."