Police and trading standards officers arrested eight people at a store following complaints from shoppers.

The store insisted it had not broken any laws.

Shoppers watched as staff at The Outlet, in North Street Quadrant, Brighton, were led away yesterday afternoon.

Trading standards officers, posing as customers, gave a signal to police to move in during one of the store's daily sales.

A customer said: "There were about 20 people inside when all these police officers came in saying they had a warrant."

The operation involved 13 police officers and a dog handler, trading standards officers from Brighton and Hove City Council and representatives from Customs and Excise.

Seven men and one woman were arrested.

They were later released on bail and ordered to return to Brighton police station next week.

City centre police commander Inspector Lorraine Morrison said: "Following complaints from numerous members of the public, a joint operation between trading standards and Sussex Police led to the execution of the warrant.

"We are investigating alleged offences including obtaining property, namely money, by deception. The complaints also concern the quality of the goods being sold."

A trading standards spokesman said the store had been under investigation for some time and officers had secretly filmed selling techniques used by staff.

He said: "We have been investigating this place in regard to alleged offences under the Mock Auctions Act, the Theft Act and consumer protection legislation."

The Outlet opened six weeks ago, advertising itself as a store selling electrical items at reduced prices.

Items being offered on flyers distributed in the street were Sony Playstations for £39, digital cameras for £20, Sony Mini Disc players for £15, lap top computers from £100, and the "world's smallest mobile" for £25.

During the last two weeks, The Argus has received a number of calls from customers attracted to the store by the flyers.

Di Head, 57, said: "It was like a market auction going on. A man was speaking into a microphone explaining all the deals they had. He threw packs of batteries into the crowd, which were offered at a penny a pack.

"We were asked to put £5 in the air to show we had cash to pay and given little boxes containing electronic organisers."

John Cook, managing director of The Outlet, spoke to The Argus about his operation.

He said his store was not breaking any laws and said customers were welcome to exchange items they were not happy with.

He said: "We demonstrate something and then you buy it. It is quite straightforward. People are offered an item and then they pay for it."

He insisted the store did sell the items it advertised on its flyers, including the Playstations and computers.

He said: "It just depends what the salesman has on offer that day.

"We are not breaking any laws.

"We work with our solicitors and with trading standards.

"There is nothing untoward going on here."