THE files of more than 100 people allocated council houses in Burnley have been reviewed in a sweeping investigation by the town's chief executive Roger Ellis

The probe into possible queue jumping on the council's official housing waiting list, has already involved interviews with all staff involved with house allocations, Mr Ellis said today.

But two councillors, suspended by their own Labour party pending the inquiry, have still to be interviewed, along with several other council members.

Mr Ellis said today he expects his inquiry to be complete and a public report issued next month.

He described as "nonsense" a claim in a national newspaper this week that the inquiry centred on "gerrymandering" - allegations that councillors manipulated waiting lists to move problem families out of their wards into Liberal Democrat areas. Said Mr Ellis: "There has been no such allegation by anyone at any stage," he said.

The inquiry was ordered by ruling Labour bosses in June - along with an announcement that Councillors, Jack Alston and Eddie Fisk had been suspended "for their own protection."

It followed allegations made by a sacked housing worker at her appeal against dismissal forallegedly assigning a house to her sister when she was not on the council waiting list.

Mr Ellis today declined to say what allegations had sparked the inquiry.

The houseing worker was re-instated following her appeal, but to a junior post and with a final warning and some loss of pay.

A second employee in the housing department had been given a final written warning following the same internal investigation and did not appeal.

Both had been suspended on full pay since the inquiry into their activities was launched in early April.

Following his suspension, Coun Alston announced he had resigned from the Labour party.

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