THE PSNI has confirmed it was aware of Belfast City Council storing pallets for loyalist bonfire builders.
However, it said officers did not provide any assistance and were not approached by the local authority.
An investigation is being launched after The Irish News revealed the council has been storing thousands of pallets for loyalists building bonfires.
Some 2,500 pallets were being stored for an east Belfast bonfire site, and around 300 for a pyre near a city centre hotel.
The pallets were due to be returned to the bonfire sites ahead of the Eleventh Night.
Many councillors have expressed outrage, saying they were unaware of and had not approved the arrangement.
The Housing Executive has previously confirmed that it provided assistance to the council's storage of pallets.
And now the PSNI has said it was also aware of the local authority's controversial agreement with loyalists.
"Police were aware that the pallets were to be removed by Belfast City Council," a spokesman said.
"Police knew that Belfast City Council were removing the pallets to a storage facility."
Sinn Féin's Jim McVeigh, the party's group leader on the council, said the PSNI response "reinforces the importance of this investigation".
"This reinforces one of the key questions we have, which is why were the majority of councillors not informed when it seems that quite a lot of people knew about this," he said.
Proposals for an investigation are to be discussed at a full council meeting next week.
The PSNI said it is "always willing to address community concerns on a broad number of issues, including bonfires", but that it has "no legislative powers to remove bonfires".
However, a spokesman added it "will support other statutory bodies to carry out their role if requested to do so".
