Police investigating allegations that corrupt local authority housing officers demanded cash from tenants for council-owned properties in east London have made more arrests.
A further two suspects have been detained following an investigation into claims that hundreds of homes in Barking and Dagenham were falsely allocated to people, the council said on Tuesday.
Last week two people were taken into custody and questioned over the alleged scam.
Five warrants were executed on Thursday, September 4 and the council and its wholly-owned housing company, BD Reside, said they were working with police on an investigation relating to suspected homes fraud.
City of London Police and the town hall launched a bribery and corruption probe, named Operation Chandrila, when they received reports that “several hundred” social homes had been wrongly issued to people between November 2020 and December 2024.
Prospective tenants answered social media adverts and were provided contacts as to how they could obtain affordable housing in Barking and Dagenham, police said.
It is alleged that tenants paid fraudsters “finders fees” and inflated rents, some of which was paid in part back to the council and some was not.
Barking and Dagenham council leader Dominic Twomey, said on Tuesday: “The fact we have openly publicised this matter as much as we can, and contacted the City of London Police for guidance and support, shows our commitment to being open and transparent when serious concerns are found.
“We want this investigation to send a clear message that we simply won’t tolerate illegal activity.
“Some of the comments I’ve seen from the public are calling for those involved to be named, which we obviously can’t do while the investigation is live. I’m hopeful that we’ll get the right result and will be able to talk more about the details once the case has concluded.
“We’re very grateful to the City of London Police for their strong partnership with the council and BD Reside throughout this process. As the investigation continues, I’d urge anyone who might have even the smallest piece of information to come forward – it could make all the difference.”
The force spokesman said officers are now appealing for people who believe they are victims to come forward “as enquiries into the alleged offences remain ongoing”.
City of London Police said: “Between November 1 2020 and December 31 2024... several hundred LBBD properties were... allocated to members of the local community by London Borough of Barking and Dagenham corrupt Housing Officers.”
It added that a form has been set up for potential victims on its website and the force “will review your information and will respond to your submission in due course”.
