Sarao Estates, a real estate firm based in Holyhead Road, has denied charges of operating unlicensed flats in two Birmingham houses in multiple occupation (HMOs). The company appeared before Birmingham Magistrates Court on Thursday, August 13, facing eight charges under the Housing Act 2004.
Managing Director Sumeet Singh Sarao represented the company and pleaded not guilty to all matters. The charges relate to two neighbouring houses owned by the company in Dolphin Road, Tyseley. Both properties have been converted and each now contains three separate flats.
Allegations of Missing Licences
The company was accused of not having the appropriate selective licensing in place for the two properties and each of the six flats during the time of the offences in November last year. Prosecutors also alleged that Sarao Estates failed to notify the council that the houses had been converted into three separate flats each.
Kate Symms, prosecuting on behalf of Birmingham City Council, said: "The company managed the residential properties which required licensing. They did not (licence them) in the allocated time and therefore the summons was sent."
Defence Claims Licences Were in Place
Mr Sarao, who did not have legal representation during the hearing, said the two properties and all the flats are now properly licensed as they should be. He also said that at the time of the offences, the two houses did have licences in place, with the first becoming active in October 2024 and the second from August last year.
Mr Sarao said they were then informed they would need individual licences for each flat. However, he claimed that when they tried to licence them, they initially did not give them the option of registering the individual flats.
Case Adjourned for Trial
Magistrates adjourned the case for trial on January 11 next year. The trial will determine whether the company is guilty of the eight charges brought under the Housing Act 2004.
