Astonbrook: another asylum-profiteering company exposed
transmitter | 15.07.2007 22:30 | Migration | Birmingham
Police have raided Birmingham-based asylum accommodation provider Astonbrook Housing Association after it emerged that the 'charity' had been, among other things, inventing asylum seekers to claim millions from the Home Office and the City Council. Two years ago, another housing provider contracted by the Home Office, the Angel Group, was being investigated for fraud.
Astonbrook is one of the UK's biggest asylum accommodation providers, alongside 8 others including the Angel Group and Clearsprings. Back in April 2006, the Birmingham-based company gained a five-year Home Office contract to provide asylum seekers with temporary accommodation on behalf of the National Asylum Support Service. Since then, it has received almost £20 million from the Home Office through the City Council. The charity, which is owned and run by a group of Somali migrants, runs properties in the Midlands, South West, Wales and Yorkshire. Soon after it was set up in 2002, Astonbrook was awarded charitable status by the Charity Commission, which meant it could lobby for public grants not available to entirely private companies.
Astonbrook was awarded the multi-million contract despite the fact that its chief executive, Mohammed Arwo, formerly ran another leading 'refugee support organisation', the Birmingham-based Midland Refugee Council (MRC), which collapsed in 2005 despite receiving £1.5 million a year from the Birmingham City Council alone. At the time, the Council Cabinet member for housing was Tory councillor John Lines. He allegedly ordered an inquiry into what went wrong at MRC but, to date, the only probe carried out has been by the Charity Commission. Mr Lines still holds the same position today.
West Midlands Police raided two offices belonging to Astonbrook Housing Association in Highgate and Erdington on Wednesday dawn (11 July, 2007). They also raided two separate businesses, Outlook Property Services Limited and Gabal Houseware and Language Services Limited, both of which have offices on Stratford Road, Sparkbrook. Police also swooped on several homes, where five men and two women were arrested, including Astonbrook's chief executive Mohammed Arwo. The suspects were questioned for most of Wednesday before being released on bail until late November. Detectives will now spend months examining the seized items (computers, documents etc.) but, judging from previous cases, many doubt anything serious will come out of it or the Home Office will improve its asylum accommodation policy.
Police had been called in to investigate Astonbrook weeks before after the Home Office and Birmingham City Council raised concerns about "how their millions were being spent." Both had carried out their own checks to verify the existence of Astonbrook clients. Early inquiries had cast doubts on 2,000 names. However, before the raids a decision was taken at government level not to withdraw funding or shut down the charity, allegedly "in order to protect genuine asylum seekers."
It is also worth mentioning that the Charity Commission, in a rare move, has sent in senior officials to take over the running of Astonbrook following the raids. The regulatory body is carrying out its own inquiry and has now appointed an interim manager to "protect and safeguard the charity's assets".
transmitter
Additions
NASS accommodation: a joke.
16.07.2007 13:45
Clandestino
Comments
Hide the following 4 comments
working for astonbrook
27.03.2008 08:09
i do know they are in debt up to their eyeballs and im just waiting to get another job and watch the company collapse
mark smith
Astonrook needs to end
15.04.2008 09:18
the poor asylum seekers suffer abuse as their is no gender separation or staff supervision, we have had and have people with mental health problems violent behaviour. the staff are not trained to cope with this and its all happening down the road from a primary school. we have also had residents who carry implemented weapons, thefts have also taken place here and its all being covered up by the managment.
telling it like it is
not the place
02.05.2008 20:02
another token whiteman
astonBROKE the end
16.05.2008 13:34
they have conned the goverment now they are treating the staff who have stuck by them like dirt.
loss of contracts , are our jobs safe ....management wont say .
we have families, bills to pay do they care ...........of course not .. so look out for these con artists who will no doubt open another profit making company and rip someone else off
worried worker
e-mail: s.broad@astonbrook.com