Castle Point Council has been cleared of mishandling the disappearance of £8,000 from its coffers in 2000 - for the second time.
The cash was reported missing from the council offices in Kiln Road, Thundersley, in May 2000 prompting an internal investigation.
Police were later brought in to investigate in September.
However, since then two people have written to the Ombudsman, which monitors the activities of councils, complaining about the way council officers dealt with the situation.
In December one complainant said the council was at fault on three issues - that it had accused the complainant of knowing who had stolen money from the council in 2000, who leaked information to the press and that they had withheld information.
The council had stated it was not obliged to inform the police of the theft of the money, added the complainant.
However, the Ombudsman said: "The Ombudsman office has concluded its investigation and considered the complaint is not one they should investigate."
Director of finance Michael Clayton today said: "This is the second Ombudsman investigation into the way the council dealt with this matter and I am pleased that on both occasions the council has been vindicated."
The cash was fully recovered through the council's insurers, he added.
Published Thursday, March 7, 2002
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