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Following the decision to start treating Downes disappearance as a murder, there were a number of arrests in the case. In 2007 two men were put on trial. The prosecution alleged at Preston Crown Court that Charlene Downes, 14, was killed by Iyad Albattikhi, 29, a Jordanian immigrant and owner of a food shop in Blackpool. His business partner and landlord, Mohammed Reveshi, 50, was accused of disposing of her body. According to the prosecution, the defendants had sex with Downes. The prosecution alleged the men spoke of disposing of her body by putting it in kebabs sold from a fast food cafe. The jury failed to reach a verdict, and at a re-trial the prosecution withdrew the charges. Both defendants were freed and given compensation for false arrest of around £250,000. There has not been another prosecution.
After a critical report by the Independent Police Complaints Commission, one of the detectives involved was found guilty of misconduct by Lancashire Police and told to resign, but the Police Arbitration Tribunal overturned the decision.