A MUSLIM teacher of the Koran obtained more than £16,000 in housing benefit to which he was not entitled.

Blackburn magistrates heard that Bashir Hafejee repaid every penny before the police became involved after members of the Muslim community rallied round and lent him the money.

His solicitor, Peter Turner, said the response of the people who had helped was a mark of the respect they had for Hafejee whom he described as a "pillar of the community".

Hafejee, 38, of Nottingham Street, Blackburn, pleaded guilty to 10 specimen charges of obtaining housing benefit by deception and asked for a further 92 offences to be taken into consideration. He was remanded on bail until June 9, when the magistrates ordered the preparation of pre-sentence reports, indicating that all options would be open.

Richard Mitcalf, prosecuting, said the offences had been committed between May 1994 and November 1998. In December of last year benefit fraud investigators had cause to investigate Hafejee's affairs.

Throughout the period of the offences Hafejee had claimed he was renting the property in Nottingham Street from a man he said was not related to him.

"Not only did he have a financial interest in that property, the man he claimed to be renting off was his brother who was not and never had been his landlord," said Mr Mitcalf.

When interviewed by police, Hafejee said he had borrowed money to purchase the house and had claimed housing benefit to pay it back.

Mr Mitcalf said the offences showed a degree of sophistication and represented a systematic fraud of the benefits system.

Peter Turner said the offences had come to light as a result of Hafejee's own actions.

"I am not saying he walked in and said he had done the council out of this money," said Mr Turner. "What he did do was go in and say that he did not need housing benefit any more. That alerted the housing department and questions were asked."

Mr Turner handed a bundle of references to the court and said the most remarkable aspect of them was that they included letters from councillors saying what an "honourable, straightforward and honest" man Hafejee is.

"Others have said please bear in mind the man's previous character," said Mr Turner. "Seldom, if ever, will you see such references made by so many people from so many different aspects of society."

He said that immediately the offences came to light Hafejee had borrowed the money to repay the council.

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