Deloitte have been appointed to investigate a range of potentially serious allegations relating to the awarding of property conservation repair contracts and other services by the Edinburgh Council.

An internal audit report from October 2010, already considered by the Finance & Resources and Audit committees, had identified a number of weaknesses in the service and an action plan to address those was approved.

However, information now available to the Council raises further concerns and will require detailed investigation. A number of precautionary suspensions have been made while this takes place.

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Sue Bruce, the Council's Chief Executive said: "As well as the investigation, I have initiated a full review of this service area. We will continue to carry out emergency repairs while this is going on and ensure jobs currently on site are completed. I can give an assurance that our action in dealing with this will be determined and focussed. There will be a report to councillors on this matter at the Council meeting on 28 April."

Council Leader, Cllr Jenny Dawe, said: "We expect the highest standards from our officers and I am satisfied that the Chief Executive will ensure that these concerns are fully investigated."

Deputy Leader, Cllr Steve Cardownie, added: "Owners are entitled to expect a fair service and value for money. If that's not happening we have to get to the bottom of it as quickly as possible and deal with it properly."

A number of staff have been suspended from their duties pending the outcome of the investigation.

The police are carrying out a separate investigation.

(GK/BMcC)