Police have launched a fraud probe into the actions of rival management companies competing for a housing contract.

The investigation follows a request by Basildon and East Thurrock MP Angela Smith who has been inundated by complaints from Vange residents.

Confused homeowners on the Chestnut Road estate are being sent two sets of bills for maintenance and cleaning work.

The problem surrounds management companies Equity and C&C which are both claiming responsibility for the upkeep of the 35 blocks of flats.

The row dates back to June 2003 when a group of residents, who said they were disgruntled with Equity's service, held an AGM to transfer control to C&C.

Equity said it was unwilling to accept this decision and claimed the transfer of control was not legal.

Chief Supt Peter Sheldrake, of Basildon police, said: "In my view this matter warrants a criminal investigation."

Kimberley Calver, of Equity, said: "This matter is still in the hands of our solicitors so it is impossible for us to comment. We would like to bring a successful conclusion to the matter as soon as possible."

Edwin Gregory, a lawyer working for Legal Action which represents C&C, said: "C&C have acted properly throughout, from what I have seen."

Published Friday June 11, 2004

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