Sacked Bermuda Housing Corporation (BHC) property officer Terrence Smith was arrested shortly after he appeared in Civil court where a former landlord accused him of owing $22,500 in rent.

Former property officer Terrence Smith lost his job following a months-long investigation into corruption and mismanagement at the government quango and an ongoing Police investigation.

While the charge Smith faces is not known, sources confirmed last night Smith had been arrested shortly after he left Magistrates' Court.

The arrest comes after claims by Opposition MP Maxwell Burgess that the Governor had issued arrest warrants for two sitting MPs had been issued. See story below.

Carpenter Steven Barbosa alleges Mr. Smith, who was his tenant at a property in Cambridge Road, Sandys, between September 2000 and June 2002, paid no rent after September 2001.

Mr. Barbosa's lawyer Paul Harshaw said yesterday it was an agreed fact that Mr. Smith paid a cheque for $22,300 which he said was for the rent.

But, he said, his client contends the money is for work Mr. Barbosa carried out at the former property officer's home in Tee Street, Devonshire.

Mr. Smith and former BHC general manager Raymonde Dill were sacked last year following a lengthy inquiry into allegations of corruption and mismanagement at the quango.

Police Commercial Crime Unit officers are still carrying out an investigation into BHC.

The names of Mr. Smith and Mr. Dill featured in another legal case Mr. Barbosa brought last month.

Mr. Barbosa was suing Mr. Dill for $6,802 he claims the former general manager owed him for work he did on his house in Langton Lane, Devonshire.

During that hearing, Mr. Barbosa admitted he had been engaged by Mr. Smith to do the work at Mr. Dill's house.

The court heard Mr. Dill and Mr. Smith are no longer in contact and Magistrate Edward King said he was satisfied the work had been carried out.

But he urged Mr. Barbosa to sue Mr. Smith for the money and to call Mr. Dill as a witness.

Mr. King adjourned yesterday's case until March 14 for final submissions. Mr. Smith was represented by lawyer Jai Pachai.