Updated: Council rebuttal to allegations by sacked housing boss

Updated: In response to Mr Sharma's allegations in this week's Brighton and Hove Independent (see below), Geoff Raw, executive director of Brighton and Hove City Council, said on Friday:

'The investigation into Jugal Sharma was carried out professionally and with absolute propriety and Mr Sharma has been given opportunity over last 12 months to present his case to the investigating team and the member panel.

"With respect to this investigation we are not aware of any grievances raised by other staff. The council continues to fully support the ongoing police investigation.'

Jugal Sharma, the former head of housing for Brighton and Hove City Council, did not attend the disciplinary hearing that resulted in his dismissal for "gross misconduct".

Mr Sharma, 54, refused to take part in the hearing conducted over two days by a three-man all-party panel: Councillor Leo Littman, for the Greens; Les Hamilton, for Labour; and Andrew Wealls, for the Conservatives.

He was angered by the way a lengthy internal disciplinary investigation was conducted, following his suspension more than a year ago. Today (Friday) he plans to lodge a formal appeal, while also preparing for the possibility of an industrial tribunal.

Mr Sharma, who earned £85,000 a year and denies any wrongdoing, has told friends he was refused permission to be represented by his lawyer, from the top London firm of Bindmans. Instead, he discussed the possibility of joining a union for representation, but was told this was not practicable.

He has also told friends that former housing colleagues were "bullied and harassed", in an effort to secure evidence against him.

Mr Sharma, who was born in India and moved to England when he was four, has alleged two former colleagues - both of them black women - were victimised. One was reportedly moved from the housing department and then suspended; another failed to have her contract renewed.

In addition, Mr Sharma has indicated that summaries of witness statements - delivered to his legal team only weeks before the hearing - were "incomplete and inaccurate".

His lawyers were still trying to verify the statements only days before the hearing was convened - in a basement room in Hove Town Hall - on November 19 and 21.

Mr Sharma, who has been interviewed under caution by fraud detectives on suspicion of misconduct in public office and corruption, has not been arrested and is not on police bail.

In August, police raided homes in Sussex, Essex and London and seized computers and files as part of their investigation into alleged £18 million fraud of council contracts over almost a decade.

Mr Sharma's home in Holland Road, Hove, was vistetd by detectives - where they were greeted only by a language student who was staying there. Mr Sharma and his family were on a camping holiday near Paris.

As Brighton and Hove Independent revealed in a series of exclusive articles, the police investigation centres on payments made to KEM Property Ltd, run by Mr Sharma's brother, Ashley Parker, 51, of Balfour Road, Essex, who has subsequently been arrested and bailed until January.

Edward Charles Parker- Bancroft, another KEM director, of Harlands Road, Haywards Heath, was also arrested and bailed until January, as was a 67-year-old - reported to be Alan Fisher, of Ashvale Drive, Upminster - and a 53-year-old man arrested in Elms Road, London.

In a statement on Tuesday, Penny Thompson, the city council's chief executive, said: 'Following a thorough and robust investigation Jugal Sharma has been dismissed by the council from his post as head of housing and his employment with the council has been terminated.

'The dismissal from employment was made by the unanimous decision of a panel of elected members on grounds of gross misconduct linked to short- term leasing arrangements.

'We will be making arrangements for the future leadership of the housing service.

'The council has put in place measures to ensure that tenants continue to be accommodated in accordance with their existing arrangements.

'We also continue to fully support the ongoing police investigation.

'The council's investigations were initiated immediately after an anonymous '˜whistleblowing' allegation.

'I strongly encourage anyone who has further information to contact the police.'