Three members of staff in the county council have also been suspended pending disciplinary action.
The action follows an internal audit enquiry that lasted five months and involved liaison with other local authorities across the UK and other public agencies.
Allegations centre on possible irregularities in the invoicing for asylum seeker accommodation by one particular landlord.
Chief internal auditor Richard Micklewright said: ‘The investigation has been on e of the most detailed that the county council’s internal audit staff have had to carry out for some time.
‘We have made extensive use of the National Anti-Fraud Network to carry out our enquiries. It has been our first year of our membership and it has proved to be an invaluable tool. I doubt that the investigation would have been concluded as successfully without it.’
Enquiries will be continuing into other aspects of asylum seeker payments.
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