Eugenie was on family skiing holiday when Andrew was arrested: Princess spotted in Swiss resort of Gstaad with her husband and children as her father was interviewed by police

It was revealed today that Princess Eugenie was on holiday with her family in Gstaad, Switzerland’s elite ski resort, while Andrew Mountbatten-Windsor was arrested.

Andrew’s youngest daughter, 35, is said to be ‘in a bad mood’ after her father was arrested on suspicion of abuse of public office following a raid on his new home in Sandringham on Thursday.

But just before her father’s arrest, which resulted in reports being reported to nine different police forces, Eugenie went on an expensive half-term ski trip. He was working at the Doha art fair last week, which David Beckham attended.

The Daily Mail today revealed that Sarah Ferguson’s friends think she is in a ‘bad place’ and ‘everyone is out to get her’ after her ex-husband’s arrest.

Eugenie’s parents feature heavily in the Epstein Files, and Fergie’s emails to the convicted pedophile reveal that she took Eugenie and Beatrice to visit him days after he was released from prison on child prostitution charges. Fergie even talked to Epstein about Eugenie’s sex life and boyfriends.

Patrons of the crowded and expensive Restaurant Waldmatte in Gstaad admitted that they were shocked to see him in such a public place, given the scandal that surrounded his family.

Someone who saw Eugenie at lunch Hello! said: ‘I was surprised to see him because I thought he would keep a low profile in light of what was going on.’

Eugenie, along with husband Jack Brooksbank, sons August and Ernest and their nanny, were spotted perusing the menu at a restaurant famous for its potato rosti, raclette, fondue and Vienna sausage in the Swiss Alps on Wednesday.

The Brooksbanks were with friends who joined them at the restaurant, which has a large terrace with breathtaking views of the Alps, but they chose to stay inside.

The diner added: ‘Eugenie and Jack were with the children, the nanny and a group of friends. They were tucked into a corner and casually dressed in ski clothes and jackets, and Jack was wearing a beanie hat as they both browsed the menu.’

While Andrew was released on police bail and hiding in Sandringham, the following emerged:

Her husband, Jack, who was photographed with Ernie on a previous trip, was also there with their two children and their nanny.

Eugenie was photographed with her friend Caroline Daur, 30, who was working at an art fair in Qatar last week.

The ski trip follows reports that Eugenie’s mother Sarah Ferguson had joined her on a trip to the UAE after she was spotted working at an art fair in Doha last week.

Beatrice has not been seen at all in recent weeks.

Following her ex-husband’s arrest, friends admitted Fergie was in a ‘bad place’ and felt ‘everyone was out to get her’.

The former Duchess of York, 66, who has not been seen in public for five months, may now look to the UAE for cash and give up her dream of a new home in Windsor to be near Beatrice and Eugenie.

But he is said to have told friends that while there would be no book detailing the family’s ties to pedophile Jeffrey Epstein, he “might have to tell that story to the police.”

This week it was revealed that six of Sarah Ferguson’s businesses will be shutting down in the next ten days.

Princess Beatrice and Eugenie were also said to be ‘in trouble’ after their father was arrested on suspicion of abuse of public office.

The embarrassed former royal spent 11 hours in police custody on her 66th birthday after plainclothes officers raided her Wood Farm home at 8am.

Police were seen attending the Norfolk home again shortly after 6am this morning, while vehicles were also seen arriving at the Royal Lodge.

But so far there has been no news from Fergie or her daughters, and questions about their whereabouts have begun to mount.

A royal source told the Daily Mail: ‘I was talking to some of his friends. He speaks badly. He tells people he’s really struggling with his mental health and thinks everyone is out to get him.

Fergie was last seen publicly being kicked out of the Royal Lodge on September 25 last year.

Andrew was spotted leaving Aylsham police station in Norfolk shortly after 7pm on Thursday.

‘But he’s also adamant that he wants to get out there and start making money again. I can’t understand how to do this. His brand is toxic.

‘The money-spinner’s best hope is a book about how his family’s friendship with Epstein ruined everything and threw the monarchy into crisis; but apparently he ignored it.

‘He may also have to tell this story to the police, judge and jury, or some other type of investigation.’

A royal source said Fergie would prefer Windsor as a base but could object because the UAE needs to make money.

‘I think he wanted to stay in the Windsor area to make it relatively easy for Beatrice and Eugenie to visit with their grandchildren.

‘But if he really thinks he can still make money, I can see his reasons for settling in the Gulf.’

The insider is said to have ruled out moving in with Andrew in Sandringham, but added: ‘I’m not sure why a five-bedroom farmhouse in Norfolk would be so bad.’

Andrew was released under investigation and was photographed cowering in the back of a car as he left Aylsham police station shortly after 7pm last night.

His arrest is understood to be related to allegations that he passed sensitive information to Epstein while serving as the British government’s trade envoy.

Thames Valley Police said searches were carried out at addresses in Berkshire and Norfolk.

But Andrew’s dramatic arrest stands in stark contrast to Fergie, who has not been seen in public since September 25 last year when she was fired from the Royal Lodge as a photographer.

The disgraced couple, who Fergie once described as ‘the happiest divorced couple in the world’, continued to live together at Andrew’s sprawling Windsor mansion until recently, a staggering three decades after their split.

He is said to have been spending time with friends in the French Alps before recently moving to the United Arab Emirates.

She also spends time with her youngest daughter, Eugenie, 35, who is in the area to work as a director at the Hauser and Wirth dealership and is attending an art fair in Doha, Qatar.

The former duchess has kept a low profile after emails between her and Epstein showed he repeatedly pursued her for money to pay off debts and practical support over a significant period of time.

The latest cache of the Epstein Files revealed that the pedophile had been secretly bankrolling Fergie for 15 years.

In an email from Epstein, he said he began ‘financially supporting’ the former Duchess of York in 1996, the year she divorced Andrew.

Epstein’s email suggested his financial patronage of Fergie went well beyond the £15,000 she openly admitted receiving from him.

It was also previously revealed how he remained in close contact with the student who was released from prison for sexual offenses against children.

She even took her two daughters to lunch with Epstein five days after his release.

He also privately issued a humble apology to Epstein for publicly accusing him, claiming that he did so only to protect his career as a children’s book author.

He called him a ‘loyal, generous and sublime friend’.

Royal commentator Richard Fitzwilliams told the Daily Mail yesterday: ‘Sarah Ferguson has no future. He is embarrassed and his businesses are closed and absolutely no charity will touch him and many more will be revealed. We’re not at the end of it.

‘Some silence and humility would be a good idea, but that’s not in his nature. This is a very serious situation and you never know where it will lead.

‘He must be extremely worried about what is emerging.’

Speaking about Andrew’s arrest, Mr Fitzwilliams added: ‘This is an unprecedented crisis, especially as it has been allowed to continue for so long.

‘It will cause great concern in the Palace.’

Former Duke Andrew of York is the first senior royal to be arrested in modern times; Thursday is undoubtedly one of the worst days for the Royals in recent history.

Although the Daily Mail revealed that Home Affairs Minister Shabana Mahmood’s team had been briefed by a senior civil servant in the early hours of Thursday, Andrew’s brother, King George III, had not been contacted. Charles was given no advance warning of the arrest.

But King Charles showed his ‘wholehearted support and cooperation’ to police after his brother was arrested.

“It is with deep concern that I learn of the news about Andrew Mountbatten-Windsor and the suspicion of misconduct in public office,” the monarch said.

‘What will now come is a full, fair and appropriate process to ensure that this matter is investigated appropriately and by the relevant authorities. As I said before, we have our full and wholehearted support and cooperation on this matter.

‘Let me be clear: The law must take its own course.

‘It would not be appropriate for me to comment further on this matter while this process is ongoing. In the meantime, my family and I will continue our duty and service to all of you.’

The Prince and Princess of Wales are also understood to support the King’s statement.

A spokesman for Thames Valley Police said yesterday: ‘As part of the investigation, we arrested a man in his sixties from Norfolk today on suspicion of misconduct in public office and are carrying out searches at addresses in Berkshire and Norfolk.

‘The man is currently in police custody.

‘We will not name the man arrested in accordance with national rules. Please note that this case is now active and therefore caution should be exercised in any publication to avoid contempt of court.’

Deputy Chief Constable Oliver Wright said: ‘Following a thorough assessment, we have launched an investigation into allegations of misconduct in public office.

‘It is important that we maintain the integrity and impartiality of our investigation as we work with our partners to investigate this alleged crime.

‘We recognize the significant public interest in this case and will provide updates at the appropriate time.’