Bosses at a chain of Bradford-based curry houses could face fines of £250,000 after a swoop by immigration officials uncovered more than 20 staff thought to be working illegally.

A total of 25 people, including Afghan, Pakistani, Iranian and Iraqi nationals, were arrested in two immigration operations at restaurants in the Akbar’s chain which has its headquarters in Leeds Road, Bradford.

Immigration officers wearing body armour held them on Sunday night as they prepared ingredients for meals at Akbar’s in Liverpool Road, Manchester, and Eastgate, Leeds.

They were held for questioning on suspicion of outstaying visas and working hours in access of those allowed, and may be deported.

Notices of potential liability have been served on both restaurants, which could be hit with fines of £250,000 – £10,000 for each worker – if found guilty of breaching immigration laws.

However, Shabir Hussain, who founded the chain 20 years ago, denied knowingly allowing any of the staff to work illegally.

He said: “The people who have been taken away are on Akbar’s payroll and have been paying national insurance contributions.

“I cannot understand it. This is not how we operate. The managers have been given clear instructions for all the branches what is required to employ people and that is the way it has been done.”

Mr Hussain yesterday told the Telegraph & Argus that two of the workers arrested for questioning at Akbar’s Leeds branch had since been allowed back to work, although the immigration service could not confirm the claim.

Akbar’s was founded in 1988 in Bradford and has since opened in Sheffield, York, Leeds and Manchester, winning a string of awards.

A second restaurant, also in Leeds Road, Bradford, was opened last month.

The UK Border and Immigration services said the Manchester raid was carried out by 26 immigration officers, supported by interpreters and officials from the Department for Work and Pensions (DWP).

“We had 21 arrests in Manchester and four arrests in Leeds,” said a spokesman.

“The people arrested are of various nationalities – Afghan, Pakistani, Iranian and Iraqi – and they are still in custody being questioned. We served notices of potential liability which could result in a £40,000 fine for illegal workers in Leeds and £210,000 in Manchester.”

In October Mr Hussain criticised the Government’s new points-based immigration system which does not rate curry chefs as a high-skilled profession.