A former city councillor has been reinstated as the manager of a Birmingham community organisation after he controversially lost his job.

Mick Rice, who was formerly a Labour cabinet member at the city council before he lost his Sparkbrook seat in 2004, has now returned to work at the Birmingham Association of Neighbourhood Forums.

His reinstatement was confirmed at a BANF meeting following an internal investigation which found his dismissal to be unfair.

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A new BANF management committee was also appointed at the meeting.

The issue of Mr Rice's reinstatement has divided the organisation, which represents about 75 community groups in Birmingham.

Community leaders from the previous management committee are understood to be outraged at the U-turn and a letter has been sent to the city council to complain at the decision to reinstate him.

The £30,000-year post is one of about half a dozen paid positions at BANF, which receives just less than £200,000 funding from Birmingham City Council annually.

Mr Rice's 12-month contract was terminated in August this year following concerns raised by the previous management committee over the lack of progress made by the organisation under the former councillor's guidance.

After his contract was terminated, Mr Rice staged a "work in" at the BANF headquarters in Nechells in which he refused to leave unless he was ordered to do so by a court.

His protest ended after a few days as BANF officials changed the locks and shut down Mr Rice's computer facilities.

Mr Rice said: "It is a great Christmas present to be vindicated. Without the support of my wife I would not have been able to see this through.

"I got the impression that the old management committee were hoping I would go away.

"But I like the job and I like the organisation, which I think can do some very useful things in Birmingham.

"When you are at my age and you are being sacked or suspended for something that is false - it sticks. So I am very happy."

BANF is expected to have increased power as the city council moves towards devolved decision-making. The management committee is elected by two delegates from each neighbourhood forum.

Mr Rice was a former cabinet member for local services and community safety before he lost his seat on the council. ..SUPL: