Administrators brought in to manage an insolvent supported housing company in Birmingham have uncovered a shocking catalogue of alleged criminality, including threats, arson, and intimidation directed at vulnerable tenants.
A Catalogue of Chaos and Alleged Crime
Midland Livings CIC, a firm with strong links to Birmingham's controversial 'exempt supported housing' sector, has been forced into liquidation. The administrators' report details a deeply troubling situation, with creditors claiming £11,919,061 and bank debts of around £349,923, bringing the total debt to over £12.25 million.
The most dramatic findings centre on the alleged actions of the company's directors and associates after the administrators were appointed. The report cites 'several serious incidents' now under criminal investigation.
Key allegations include:
- Unlawful entry into properties and theft of white goods.
- Threatening behaviour and intimidation tactics used to pressure vulnerable residents into signing leases with other companies.
- Multiple incidents of breaking and entering, theft, and arson.
- Tampering with or deactivating fire alarms, requiring the immediate deployment of 24/7 fire wardens.
- Diverting company funds to other companies.
The frequency and severity of these incidents forced the administrators from S&W Partners to hire a security firm to protect tenants and properties. Despite police involvement and cease-and-desist letters, the unlawful activities reportedly continued.
Failed Cooperation and Mounting Costs
The administrators identified the directors as Saira Butt, 46, who is the person with significant control, Faisal Saeed, 54, and Faizan Ali Khan. The report states that the directors and certain staff 'consistently failed to provide information' and that some information given was 'inaccurate and misleading.'
Efforts to keep the business operational and transfer its vast property portfolio—estimated at 1,000 units across 130 properties—to organisations like the YMCA and Living Concepts were severely hampered by this lack of cooperation. The administrators found most properties in a 'poor state of repair', with some requiring urgent work.
Furthermore, they discovered that several tenants eligible for Universal Credit housing allowance were not receiving it, or it was being paid to someone else. Birmingham City Council ceased payment of housing benefit to the company from July 2025, stating it no longer met the qualifying criteria for exempt rents.
The costs of the administration process have already topped £1 million, including over £38,000 on security and £38,700 on property maintenance. The administrators' and consultants' fees are charged at £500 per hour.
Background in a Troubled Sector
This case shines a harsh light on Birmingham's 'exempt accommodation' sector, a type of supported housing with minimal regulation. The city is a national hotspot for such provision, with over 9,000 properties and 30,000 rooms registered as of April 2025.
Director Saira Butt is a well-known figure in this sector. She currently controls multiple companies, and a previous venture, Saif Lodge, was shut down by a court order in 2021 following complaints of drug dealing, prostitution, and anti-social behaviour.
Birmingham City Council confirmed it is aware of the administration and is conducting welfare checks to ensure residents are safeguarded. The administrators have concluded that seeking the company's winding-up via compulsory liquidation is the best course of action.
