Detectives investigating allegations of fraud at Brighton and Hove City Council have today questioned the suspended head of the housing department.

Officers interviewed Jugal Sharma under caution by appointment at Brighton custody centre on suspicion of misconduct in public office and corruption.

Mr Sharma, 53, of Holland Road, Hove, was not arrested and he later left the centre while enquiries continue. At this stage no date has been set for him to be interviewed again.

The investigation was launched by the Sussex Police Economic Crime Unit in November last year following an initial investigation by the council's own internal audit team.

It is looking into allegations of the improper awarding of council contracts worth more than £18 million over the past ten years to a property management company providing the homeless with temporary accommodation.

Four men arrested on August 6 on suspicion of the same offences were released on police bail that evening until October while the investigation continues.

They are: A 51-year old man arrested at an address in Balfour Road, Ilford, Essex - now on bail to October 16; A 57-year old man arrested at an address in Harlands Road, Haywards Heath - now on bail to October 17; A 53-year old man arrested at an address in Elms Road, London, SW4 - now on bail to October 15; A 67-year old man arrested at an address in Ashvale Drive, Upminster, Essex - now on bail to October 15; An address in Holland Road, Hove, and a business address in Queens Road, Brighton, were also searched on August 6 but no arrests were made at either place.

At each address computers and related equipment, and documents, were seized for examination.

A 45-year old man from Balfour Road, Ilford, attended Brighton Custody by appointment with his solicitor on Thursday August 14, and was interviewed under caution as part of this investigation. He was not arrested and a further interview date has not yet been set.