A man who made thousands of pounds running a sex den in Eastbourne town centre has narrowly escaped a spell in jail.

David Pye walked free from court after a judge suspended a 12 month jail sentence for two years.

But because he has been declared bankrupt he will not have to pay any court costs and only 1 of the 122,000 which he made from the brothel can be confiscated.

The court heard Pye, a father of three, made the money over an 18-month period when he was running the brothel from a three storey building in Susans Road, near the junction with Ashford Road.

He advertised the brothel, known as Mermaids, in local publications and men frequently called there at all times of the day and night to have sex with prostitutes.

Police raided the building after a tip-off from Pye's ex-partner, Alison Hooper, that prostitutes were working from the premises.

Fifteen officers stormed the building in August 2006 and discovered three women working as prostitutes at the time and a male client who was with one of the women.

Pye was arrested some weeks later and a long police investigation began which revealed the 45-year-old had made thousands of pounds and at one point was depositing more than 3,000 a month into bank accounts.

Pye, who has since been declared bankrupt and now lives in Tunbridge Wells, admitted charges of running a brothel and living off the proceeds of prostitution when he appeared at Lewes Crown Court last year. He was back in court in Brighton on Friday to be sentenced by Judge Paul Tain.

Richard Cherrill, prosecuting, told the court, "This defendant owned the flats in Susans Road and ran advertisements in publications which made it very clear that sexual activity was available at the premises. He also advertised for prostitutes looking for work and there was a Mermaids internet site."

Mr Cherrill said on the day of the raid there were two English women and a foreign woman, aged between 19 and 29, and a client of one of the prostitutes, who told officers he went there for sexual services.

"The women told police they had been working there for some time and they paid the defendant half of what they received from clients. The cash and time sheets were placed through the letterbox of the upstairs flat. Police seized a menu of services available for clients and bank statements were also found.

"He was arrested a few weeks later and denied he was controlling prostitution and laundering money. He blamed his former partner, Alison Hooper, and said he was merely the landlord of the premises.

Rebecca Upton, defending Pye, also said Miss Hooper had set up the brothel and was 'the keeper of it all'.

Miss Upton said, "When the couple split, Mr Pye was left in the premises. He did not set the brothel up. He took over the running of it when his ex-partner left. Miss Hooper took it upon herself to call Eastbourne Police about the property and it is as a result of her complaints that it came to the attention of the police."

Miss Upton said until recently Miss Hooper was still a joint mortgagee on the property and the rent from the girls was paying the mortgage.

She added that Miss Hooper had been questioned by police over allegations and received a police caution for her part in the operation.

Miss Upton added that none of the women working as prostitutes were underage, working against their will or were being mistreated.

The court heard a health visitor had also seen the girls working at the brothel and gave them a clean bill of health and believed they were working there of their own accord.

Miss Upton urged Judge Tain not to jail Pye, who, she said, was under the impression police turned a blind to brothels in the town.

"He told officers there are another 12 similar premises in Eastbourne and said nothing is being done about them."

Judge Tain told Pye he had crossed the custody threshold and sentenced him to 12 months imprisonment but suspended it for two years. Pye was also ordered to do 100 hours of unpaid work.

At the time of the raid neighbouring traders in Susans Road said it was common knowledge the property was being used as a brothel.

One trader said, "There is a steady stream of visitors throughout the day and night. You see them going in and then coming out again later.

"It's all very strange and you get some really odd looking characters going in."