was seen around 1,000 miles east southeast of Bermuda by a merchant vessel.

The helicopter scoured the area extensively, but nothing was found.

Last night a spokesman for Harbour Radio said Bermudian ships had now been alerted about the flare.

Local vessels have also been urged to look out for a missing 29ft green Canadian junk, Wu Wei .

The junk, with three people on board, was on its way from South Carolina to the Gulf of St. Lawrence, off Canada.

The Canadian and United States coastguards have been put on the alert.