The former boss of a lettings agency who stole over £11,000 of clients’ money has been spared jail.

Sanjit Alangh, 26, ran The Rent Team in Harlow, Essex, which went into liquidation in June 2013 amid complaints that landlords and tenants were owed money, with rents and deposits unprotected.

At the time, the local newspaper carried a story with one landlord expressing frustration that, despite reporting his suspicions and information, he had received an email saying it was a civil matter.

He told the paper: “As far as I am concerned, this should be a criminal investigation.”

However, last week, in a prosecution brought by Essex Trading Standards, Alangh, now living in Slough where he works as a courier earning £400 a week, was given a 12-month sentence suspended for two years at Chelmsford Crown Court.

He was also ordered to carry out 120 hours’ unpaid work. He must pay £11,005 compensation within 28 days, plus £5,000 costs at the rate of £100 a week.

Judge Christopher Ball warned Alangh that if he did not pay the money back within the timescale or if he breaches the suspended sentence order, then he could go to jail.

The judge said he had taken into account the fact Alangh had pleaded guilty, had not wasted court time and had acknowledged he had cheated other people out of their money to help the business to survive a bit longer.

Alangh pleaded guilty to nine offences of engaging in unfair commercial practice and one offence of fraudulent trading, all between 2011 and 2013. The court was told there were 11 victims.

Nine other offences of fraud by abuse of position, which Alangh denied, were not proceeded with and he was formally found not guilty of these.

Sarah Steggles, representing Alangh, said in mitigation: “He’s 26, he went to college to study business and worked in a letting agent in Grays before starting up in Harlow. He accepts he was too young and naive to manage that business. He couldn’t manage it without getting into trouble.

“Having been made bankrupt, he and his parents have moved out because they had quite a lot of backlash. They’ve now moved to Slough area.”

The case once again highlights the ease with which anyone can set up in business as a letting agent and handle people’s money – no matter how young or inexperienced.

More worryingly, as the law stands, although Alangh has now been banned from being a company director for five years, he could nevertheless still work in the lettings or estate agency industry.

The Harlow Star reported the case here

The Rent Team in Harlow has no connection to businesses of a similar name.

* In an unrelated case, the former financial controller of London agents Salvi Carr has been remanded in custody after stealing £1.3m of client money over a five-year period.

Karen Chin, who admitted nine counts of fraud, was warned she faced an “inevitable” jail sentence and that the only question mark was over its length. She is to be sentenced on February 13. The firm sacked her and reported her to the police. It said that no financial loss had been incurred by clients, tenants or third parties.