Leicester City Council will review how it places elderly people in private care homes after the arrests of four staff members at an establishment with which they had a contract.
The council paid for 21 residents to be looked after in Fosse Court, in Fosse Road North, but moved them out last month when police launched an investigation into reports of alleged ill-treatment.
The council is looking to see if any lessons can be learned from the matter.
When they meet on Thursday, councillors are to be briefed on what happened at the home and told about the proposed review.
A council spokesman said: "Leicester has a well-established safeguarding adults board, with an independent chair.
"As with any cases of this nature, it has been agreed that a full review will be undertaken.
"The timing of this is still to be agreed, pending the completion of the police investigation."
Leicestershire Police have said all four arrested members of staff – women aged 46, 47, 54 and 61 – remain on bail pending further investigations.
After the council removed the residents, home managers chose to close it down entirely but accused the authority and the care watchdog, the Care Quality Commission (CQC), of applying inappropriate pressure to the business following a recent inspection.
At the time, a spokeswoman for the home said: "As a responsible care provider, we have taken the very difficult decision to close Fosse Court.
"We do not believe there is an alternative course of action due to the overreaction and inappropriate pressure applied to the home by Leicester City Council and the CQC, which 42 days ago found the home to be compliant with most of the regulations inspected.
"The high standards of care we demand cannot be delivered while the concerns raised are looked into and a police investigation is ongoing.
"We have not taken this decision lightly as the welfare of our residents is paramount but we firmly believe this is the right thing to do.
"The home remains registered with the CQC and decisions will be taken by the provider on the reconfiguration and future path of Fosse Court.
"The decision to close Fosse Court was solely that of the provider."
A council report says the CQC took the decision to de-register the home on July 2, after the authority decided to terminate its contract with Fosse Court.
It said: "Clearly, this was a distressing time for the residents and their relatives.
"However, all residents were able to move to a home that would meet their needs, in some cases as an interim measure."