Linklaters and Olswang are set to face questions from MPs over the sale of British retailer BHS last year, little more than 12 months before it collapsed into administration.

Today, the House of Commons Business Innovation and Skills Select Committee launched an inquiry looking into the sale of BHS to Retail Acquisitions by retail tycoon Philip Green's Arcadia for £1 last year. BHS fell into administration this week, putting 11,000 jobs at risk.

Linklaters advised Arcadia on the sale with a team led by London corporate partners Owen Clay and Nick Garland. Retail Acquisitions turned to Olswang for legal advice.

Chair of the Committee, Labour MP Iain Wright, said: "In this inquiry we'll want to question the role of advisers – the lawyers, bankers, auditors and others who advised on the sale and purchase of BHS – and examine the legal obligations of company directors in this process."

The Guardian has reported BHS paid a total of £25m to Retail Acquisition inbetween the sale and the administration announcement – including £11m in legal and professional fees, £2.1m in salaries and wages, and £2.8m in management fees. The professional fees include £8.4m to Retail Acquisition.

Wright said the sale raised questions of whether the owners acted in "the best long-term interests" of the company and its employees through the sale, and if there is "too much of an incentive" for owners to asset-strip companies for personal gain to the detriment of the taxpayer.

The witness list is to be decided in consultation with the Work and Pensions Select Committee, which is holding a separate inquiry into pensions regulation and the Pensions Protection Fund (PPF) in relation to BHS, after the administration left the PPF to pick up BHS's pension liabilities.

The high street stalwart started the administration process earlier this week, after an attempt to sell 164 stores to Sport Direct reportedly collapsed during the weekend.

BHS owes more than £500m to its creditors, including nearly £70m to landlords.

Weil Gotshal & Manges' London office is advising BHS on the administration, with DLA Piper advising administrator Duff & Phelps.

Linklaters declined to comment. Olswang has been contacted for comment.