Scottish Labour leader Richard Leonard was snubbed after he called for a Dundee councillor to be suspended over alleged anti-semitism.
A leaked report revealed Leonard believed a Facebook post shared by George McIrvine had been anti-semitic.
But UK party officials refused to heed Leonard’s suspension call and the councillor was let off with a warning.
Labour has been dogged by claims of anti-semitism among its members and some parliamentarians.
At the weekend, a 860 page report into the work of Labour’s “governance and legal” unit between 2014 and 2019 was leaked.
The dossier exposed the poor handling of anti-semitism cases and confirmed the dire relations between Corbyn’s team and Labour HQ in London, which was tasked with examining complaints.
It also uncovered thousands of private WhatsApp communications between former senior party officials.
Part of the report focused on a Facebook image shared in 2018 by trade unionist McIrvine, who also represents Coldside in Dundee.
The post made reference to the Rothschild’s bank - which can be an anti-semitic trope - in relation to President Trump’s air strikes in Syria.
A former UK party official stated in an email: “The allegations have been considered and it does not amount to antisemitism so there will not be further action.”
The Scottish party forwarded an email from Leonard: “It is my clear view that the Facebook posting attached is anti-Semitic. I believe we have to take a firm lead in tackling anti-Semitism in the Party.”
Leonard also argued: “If this is an anti-Semitic post, which I believe it is, it should be investigated thoroughly, and in these circumstances I think there is a case for suspension pending that investigation.”
Another UK official disagreed with Leonard on suspension, but recommended a “notice of investigation”.
In the end, McIrvine received a warning and apologised. He said at the time: “I fully accept and adhere to the decision made by the party.
“My sharing of a post on social media was never intended to offend anyone, if I have, then I offer my sincere apologies.”
A senior party source said the episode showed Leonard in a good light but underlined the need for Scottish Labour to control its own disciplinary procedures.
Membership issues are a matter for the party at a UK level and have not been devolved to Scottish Labour.
A spokesman for the Scottish Conservatives said: “This underlines how little influence the Scottish Labour branch office has over the hard-left leadership in London.
“It’s no wonder candidates, donors, activists and voters are deserting the party in their droves.”
Leonard said: "The tactics and language detailed in this report should have no place in the Labour Party: not least if they impaired our commitment to rooting out racism and anti-semitism."
