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An investigation is under way at Guildford Borough Council following “an issue” with the housing maintenance department.

The Local Democracy Reporting Service understands staff have been suspended, contracts terminated and the authority is looking into possible fraud.

A spokesman for the council however would not confirm if any staff had been dismissed or suspended regarding allegations of fraud or other issues.

The authority is currently facing possible bankruptcy and looking for a new chief executive and finance chief.

A spokesman said: “We’ve identified an issue within housing maintenance.

“Due to this, and in accordance with proper procedures, we are conducting an investigation.

“It’s essential to uphold the integrity of the investigation process.

“Therefore, at this time, we’re unable to provide any specific details or comments related to our ongoing enquiries.”

He said: “We plan to operate as normal during this time and we’re working hard to continue providing our housing maintenance services with limited disruption.

“Our priority continues to be the safety and wellbeing of our tenants, and the compliance of our properties.

“We will continue to engage regularly with our tenant engagement group.”

Officers have warned a section 114 notice, where a council declares itself effectively bankrupt, may have to be issued at a key meeting in October.

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