If—
the authority shall make appropriate inquiries.
In subsection (1) above "appropriate inquiries" means—
If the authority think fit, they may also make inquiries as to whether the person who applied to them has a local connection with the area of another housing authority.
If the authority have reason to believe that the person who applied to them may be homeless and have a priority need, they shall secure that accommodation is made available for his occupation pending any decision which they may make as a result of their inquiries (irrespective of any local connection he may have with the area of another housing authority).