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A formal investigation has been launched against a councillor who was found in a brothel “covered in lipstick”, the Labour group leader at Merthyr Tydfil council has said.

Welsh Labour councillor Brent Carter, who serves Merthyr Tydfil council, was discovered inside a brothel when police were carrying out a search in May 2015, a court heard last week.

Merthyr Tydfil Crown Court heard on Friday that a warrant was executed by police on May 8, 2015, at a house in Regent Street, Dowlais. It had been used as a brothel for around a year.

The court case saw Leon Hall, 36, of Heathland Way in Llandarcy, Neath , appear in the dock where he was sentenced to 10 months in prison, suspended for one year, and ordered to complete 180 hours of unpaid work after previously pleading guilty to one count of keeping a brothel used for prostitution.

The court also heard how Councillor Brent Carter was inside the property at the time.

The court was told that within a few minutes of Coun Carter entering the property, police also entered the terraced house, where Mr Carter was found “covered in lipstick”.

Responding to the incident, Councillor Chris Barry, who is leader of the Labour group at Merthyr Tydfil council and leader of the Opposition, said a formal investigation will now be conducted against Coun Carter, who serves the Plymouth ward.

Coun Barry said: “I have asked for our chief whip to carry out a formal investigation. Depending on the outcome the group will decide on any action that may be appropriate.”

It comes after Merthyr Tydfil council leader Kevin O’Neill, and leader of the Independents, said on Monday that Coun Carter had been reported to the Public Services Ombudsman for Wales.

The Ombudsman can investigate complaints about public services in Wales and complaints a local authority member has broken their Code of Conduct.

Mr O’Neill said: “In the interest of openness and transparency and to protect the reputation of the council, it is my duty as the Leader to forward this case for an independent assessment to the Public Services Ombudsman.

“With regards to Brent Carter’s current position as a councillor, and an apology, this would be a matter for him and Councillor Chris Barry, the Labour opposition group leader.”

Merthyr Tydfil Crown Court heard on Friday how the brothel had been operating for around a year, with reports from neighbours of men arriving at “all hours of the day and night”.

Speaking at the sentencing of Leon Hall, defence barrister Andrew Taylor said: “Councillor Brent Carter, a man who holds office, a man who went there, who decided to go there of his own volition, a man who went there because he trusted the premises. It underlines how, if you like, responsible Mr Leon Hall was in vetting people who went to these premises.”

In May 2015, Merthyr Tydfil council issued a press release confirming that “as a result of nuisance and anti-social behaviour” they had successfully applied to the courts for a closure order in regards to a “suspected brothel” at the address in Regent Street.

Welsh Labour and Coun Carter have been contacted for comment.