East London rascal that is direct (6)

I believe the answer is:
schelm
'east london rascal' is the definition.
'schelm' can be an answer for 'rascal' (I've seen this before). I'm not certain of the 'east london' bit.
I don't understand how the remainder of the clue works.
Can you help me to learn more?
(Another definition for schelm that I've seen is " South African rascal".)
I've seen this clue in The Times and The Sunday Times.
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