Two sites were raided across St Leonard's, Dorset, and Aylesbury, Buckinghamshire, as part of the Serious Fraud Office (SFO) probe, supported by the National Crime Agency (NCA).

The investigation is looking into the UK registered property developer, the Carlauren Group, which collapsed into administration in November 2019.

When it folded, the SFO said that it led to some elderly residents being forced to move out, and left 600 investors out of pocket.

The Carlauren Group bought 23 properties across the UK, often former hotels including the historic Windlestone Hall in Durham, and allegedly claimed to offer annual 10 per cent returns to investors as it sought to turn the buildings into high-end care homes.

However, the SFO said only nine of these became operational and some continued as hotels instead of care homes.

Alongside that, the group allegedly purchased a number of supercars, including two Lamborghinis and a McLaren 570GT, a private jet and two yachts.

Nick Ephgrave QPM, director of the Serious Fraud Office, said: "This company's abrupt collapse has created turmoil and enormous anxiety for many, with elderly people forced to vacate their homes and investors left with nothing.

"Today's arrests are a major development in our investigation and a step towards getting the answers so many people need."

The group was said to have had 600 people and companies invest in the scheme through the purchase of rooms that were to be rented out to the elderly.

This was inside luxury facilities that boasted of swimming pools, room service and other amenities.

According to the SFO, the rooms were advertised and sold with a guaranteed annual payout and opportunity to sell the asset back for a profit after 10 years