The sudden closure of an estate agent's office is to be investigated by Government watchdogs.

The Department of Trade and Industry (DTI) has asked to see evidence gathered by The Argus after Bentley's lettings office in Western Road, Hove, shut its doors.

Tenants and landlords are owed more than £15,000 in rent and deposits. They said they were given no notice or reason for the closure.

Former director Timothy Harding yesterday promised everyone affected would be paid.

But Hove MP Ivor Caplin has referred the matter to the DTI.

Mr Caplin said: "I have spoken to the DTI and it would like to see the stories and any other evidence that The Argus has gathered."

Mr Caplin said it was time for the rules governing tenancy and leaseholders to be reviewed. He tried to get a rethink three years ago.

He said: "We need to revisit the whole question of rental deposits to give tenants more protection.

"I believe we should be looking at a system similar to that in Australia where an agreed third party holds the deposit.

"It is held by a reputable bank or broker and is returned to the tenant when they leave the property.

"This avoids many of the disputes we see here between landlords and tenants over how much of the deposit should be paid back.

"This is a very important issue in a city like Brighton and Hove, which has such a high proportion of rented property."

The Association of Residential Letting Agents (ARLA) has backed the calls for a review.

Spokesman Malcolm Harrison said: "We would like to see every letting agent forced into having a separate client account. This means all tenants' deposits and landlords' rents do not go in the trading account of the business, which gives clients greater protection.

"We insist on all our members having separate client accounts and these are then monitored by independent chartered accountants.

"It is very difficult to prove theft and dishonesty in the lettings business.

"We demand all members have a compulsory bond against client's money disappearing. If this does happen, clients can come straight to us and we will get it back.

'They do not have to go through the courts. If the agency is not a member some clients may have trouble proving they are owed money."

"We have no authority to enforce this outside our membership. We also cannot force people to join us. Our voice would be stronger with the support of Government legislation."

There are 14 ARLA member offices in Brighton and Hove.