Police investigating Sandwell Council land sales

Councillor Mahboob Hussain has already stood down as chairman of the council's asset management and land disposal committee, but remains deputy leader.

Allegations made on a blog are being investigated by the council.

But now it has emerged West Midlands Police have also taken files with them.

In a joint statement to staff, leader Councillor Darren Cooper and chief executive Jan Britton said: "The police have decided that an allegation they have received about some land sales by the council are sufficiently serious that they must investigate.

"The chief executive met with police officers (on Monday) morning and they have begun their investigation.

"We will, of course, co-operate fully with the police investigation in every way.

"We jointly decided that we should instruct the council's audit service to conduct an investigation of the allegations that have been made.

"This audit will also involve the council's independent external auditor, KPMG and the relevant files have all been secured in order for us to conduct this investigation.

"The council audit and the police investigations may take a considerable amount of time – and regrettably they may also bring negative media attention to the council, whatever their outcome.

"We think it is important that we both say how proud we are of Sandwell Council. We both think we have achieved amazing things in the past five years, despite huge budget cuts and increasing need for our services by the public."

Councillor Cooper added: "I welcome the police investigation."

The investigation was triggered because of a blog set up by Julian Saunders, whose wife Linda used to be the manager of West Bromwich arts centre The Public.

It centres around land including former toilets and the old Smethwick coroner's court in Crocketts Lane having been sold to Councillor Hussain's family.

Councillor Hussain has denied any suggestion of wrongdoing.

Last month he apologised after it was revealed he had failed to declare a business interest in Five Star Taxis, which was awarded contracts by Sandwell Council.