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Estate Agency Staff Arrested Amid Fraud and Money Laundering Probe

A 58-year-old man has been arrested in connection with an alleged fraud and money laundering investigation at PS&B Estate Management Limited. The South of England firm reportedly managed 400 blocks and held approximately £7 million in client funds.

  • A 58-year-old man was arrested by the South East Regional Organised Crime Unit on suspicion of fraud, money laundering, and theft.
  • PS&B Estate Management Limited, based in Portsmouth, has faced significant financial difficulties, including frozen bank accounts and unpaid staff.
  • The investigation by Trading Standards and police focuses on alleged mismanagement of client funds, which reportedly totalled £7 million.
  • The company is part of the Blue Bombini Group, whose subsidiaries are all late in filing annual accounts.

The quiet streets of Portsmouth's historic quarter were abuzz with unseemly activity earlier this week, as a member of PS&B Estate Management Limited – the 200-year-old estate agency at the centre of a widening scandal – was arrested on suspicion of fraud and money laundering. The 58-year-old individual, part of the team responsible for managing over 400 blocks in the region, was taken into custody by the South East Regional Organised Crime Unit.

PS&B Estate Management Limited, which has been struggling to stay afloat despite its storied past, had drawn attention earlier this year when HM Customs & Revenues filed a winding-up petition against the company. Although the petition was later settled and dismissed, the damage was already done: staff members left en masse after the firm's Lloyds bank account was frozen, leaving many unpaid, and the Brighton office subsequently closed. A Revolut account used by the company was also reportedly frozen.

The core of the investigation revolves around the handling of client funds, which PS&B Estate Management Limited allegedly held in the region of £7 million. Concerns have been raised regarding leaseholder funds, with allegations of unpaid bills emerging – claims that company director Peter Hewett had previously denied earlier this year. Both Trading Standards and Hampshire and Isle of Wight Constabulary are actively investigating the firm's activities.

PS&B Estate Management is a subsidiary of the Portsmouth-based Blue Bombini Group, which operates three other estate agencies and a chartered surveying firm across Brighton, Portsmouth, and Bognor Regis. Peter Hewett is listed as the sole director for both the group and PS&B Estate Management. Companies House records indicate that the Blue Bombini Group and all its four subsidiaries, including PS&B Estate Management, are currently overdue in filing their annual accounts – a situation that has raised further questions about the group's financial management.

This case serves as a stark reminder of the need for robust regulatory oversight within the property management sector, particularly when significant client funds are involved. As the investigation continues, authorities urge anyone who believes they may have been affected by these alleged financial irregularities to contact Hampshire and Isle of Wight Constabulary, quoting reference 44260266014.

Why this matters: This story highlights serious concerns about financial mismanagement and oversight within the UK property management sector, potentially affecting leaseholders and their funds. It underscores the importance of regulatory protection for consumers in property dealings.

What this means for you: What this means for you: If you are a leaseholder whose property is managed by an estate agency, this case serves as a stark reminder to scrutinise financial statements and ensure your funds are protected. It may also lead to calls for tighter regulations in the property management sector.

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