Mr Fayed, 41, accompanied the princess on a secret yachting holiday in the Mediterranean, and pictures showing them "kissing and cuddling' are being offered for around pounds 500,000. William Hill has cut the odds on the Princess remarrying before 2000, from 6/4 to even money.
But today, in her role as "princess of compassion", Diana was was flying to Bosnia as part of her worldwide campaign against landmines.
Dodi al Fayed, the 41-year-old son of Mohamed al Fayed and nephew of arms dealer Adnan Khashoggi, has been linked over the years with a string of beautiful women. An Oscar-winning film producer, his credits include Chariots of Fire, Breaking Glass, Murder By F/X and Hook.
His marriage to American model Suzanne Gregard ended in divorce after eight months, with a settlement rumoured to be $2m (pounds 1.3m), including jewellery and a new Rolls Royce car. Afterwards he said: "I think my one marriage has put me off the institution for life." He has been linked with a string of actresses, including Brooke Shields, the Duke of York's former girlfriend, Koo Stark, Britt Ekland, Princess Stephanie of Monaco, the actress Valerie Perrine, and Frank Sinatra's daughter, Tina.
More recently he was reported to be comforting Joanna Whalley following her break-up with Val Kilmer. Ian Burrell