Corporation of Hamilton councillor Graeme Outerbridge has resigned after a long-running row over whether he and alderman David Dunkley are eligible to serve.

But he revealed yesterday that he stepped down on Tuesday only so he could re-register on the City of Hamilton's voters' list, win back his seat and prove his eligibility "beyond question".

Corporation Secretary Kelly Miller launched an investigation earlier this year after former Deputy Mayor Bill Black alleged that Mr. Outerbridge and Mr. Dunkley were not bona fide tenants of the city and were therefore ineligible to serve as Corporation members.

Mr. Black claimed that while both men may pay rent to landlords in Hamilton they are not in "beneficial occupation" of a valuation unit, as the Municipalities Act 1923 requires.

Mr. Outerbridge and Mr. Dunkley refuted the claim but the former said last night that the term "occupier" was so vague he would rather resign and re-register using different details than see the Corporation pay to have the matter determined by a judge.

"I was not willing to be the trial horse for what occupier means; it's just not worth it," Mr. Outerbridge told The Royal Gazette. "It's just untenable to sit there with your own members attacking one another. For me, I wanted to end it.

"I thought it was best for the Corporation to step away and re-register. I'm going to move my registration. You can't move registration while you are a sitting member."

Mr. Outerbridge, who was formerly listed as an occupant at Mercury House on Front Street, said he would re-register as a nominee for a company but declined to give further details.

He claimed the complaint about him and Mr. Dunkley was made due to differences of opinion around the table and not really because of their validity as tenants.

"This is the ugly side of politics," he said, adding that to resign was "terrible". "I have done a lot of positive things while there," he said.

Mr. Black said last night that Mr. Outerbridge had done the "honourable thing" and suggested Mr. Dunkley should do the same.

The alderman added: "There is a lot of turmoil. I don't want to say anything. I think I have said enough."

The Corporation confirmed Mr. Outerbridge's resignation in a statement. Mayor Sutherland Madeiros said: "I would like to thank Councillor Outerbridge for his years of dedication to the City of Hamilton.

"Throughout his tenure he has always worked for the betterment of the city and was an active participant in Corporation of Hamilton discussions."

Ms Miller said: "Councillor Outerbridge yesterday submitted a letter requesting that he be removed from the Municipal register, effectively resigning from the Corporation."

She did not answer further e-mailed questions about the outcome of the investigation into the eligibility of Mr. Outerbridge and Mr. Dunkley to serve. Mr. Dunkley could not be contacted for comment.

An election will be held for Mr. Outerbridge's seat and that of former common councillor George Grundmuller, who stepped down in February.

City Treasurer Geoff Bell confirmed yesterday that he had tendered his resignation to the Corporation. His decision comes just weeks after Deputy Treasurer Richard Fox left the organisation.