An official investigation into an Oxford charity sparked by complaints from sacked members of staff has concluded that there was no financial impropriety.

However, the year-long inquiry by the Charity Commission into the beleaguered Oxfordshire Council for Voluntary Action (OCVA) has uncovered flawed financial record-keeping and accounting systems.

The commission revealed that the police had been conducting their own investigation into the charity, which raises about £500,000 a year, but they decided no crime had been committed.

The commission's inquiry was launched following complaints from ex-employees of the charity, based in Floyds Row, St Aldate's. The charity's director at the time was Liz Brighouse, who is now the leader of the Labour group on Oxfordshire County Council.

Four of the staff had been sacked and complaints about their dismissal were lodged with the commission. There were also allegations of "financial irregularities".

Mrs Brighouse said: "This whole nightmare was sparked by a vendetta and I'm just relieved that it's all over at last."

A statement from the commission said: "Practices and procedures for many of the charity's activities were enshrined in written and available documents, but staff had not always complied with them. There was some uncertainty among staff as to lines of supervision."

The Commission re- ported that work was under way to "improve financial records" and to make staff better supervised.

OCVA was set up in 1962 "to promote any charitable purposes for the benefit of the community in Oxfordshire."