Clue: Lowlands town then lower, low in police inquiry might you say? (5)
Answer: ALLOA
Explanation: Definition: Lowlands town
The (apocryphal) 'police inquiry' would be " 'allo, 'allo, 'allo? (What's going on here?)"; follow ALLOA with lloallo, which sounds much like ('might you say') 'lower low' and that is what you would get. The 'lowlands' are Scottish; I only know the town from its soccer team Alloa Athletic.