The report was submitted to the state government July 27, the day when hours later Durga Shakti Nagpal was given marching orders and was attached to the state revenue board.
Samajwadi Party chief Mulayam Singh Yadav Monday made it clear that UP Chief Minister Akhilesh Yadav's decision in this matter was correct and that there was no option to go back now.
Notwithstanding the letter written by Congress president Sonia Gandhi to Prime Minister Manmohan Singh that treatment to the officials should be fair, Mulayam Singh Yadav said the decision to suspend her was "final".
Sources in the government while confirming the LIU report said the political leadership of the state government has "decided not to go back in this matter now".
Akhilesh Yadav has maintained that the decision to suspend the SDM was an administrative decision taken to thwart any communal flare up in the Kadalpur village of Noida after Nagpal's decision.
In the detailed intelligence report, the LIU team says that a mosque was being constructed in Kadalpur village falling under the Raghupura police station and that a 10 feet high wall was being constructed.
When the report reached the district administration that the mosque was being built on government land, without requisite permission, SDM Zevar and station house officer of Raghupura reached the construction site at 1 p.m. and after inspection of the construction, ordered the demolition of the wall.
This means that at the time of the demolition, the suspended IAS officer was nowhere near the mosque construction site.
The district magistrate of Noida had earlier given a clean chit to Nagpal in the matter and the chief minister had then taken cited "other reports" including that of the LIU as the reason for suspending the IAS official.
The LIU report goes on to add that in the predominantly Muslim village, the Samajwadi Party (SP) Lok Sabha candidate and minister rank holder Narendra Bhati had inaugurated the mosque three months back, work on which was started with a Rs.51,000 donation from him.
Bhati, chairman of UP Agro, has however been denying the monetary contribution towards the construction of the mosque.
Caught in the centre of an unsavoury controversy and public outrage, the state government has so far refused to budge and revoke the lady officials' suspension.
Akhilesh Yadav, his ministers and party office bearers have time and again justified the decision to suspend Nagpal and have warned of stricter action against errant officials.
It is widely believed that Nagpal was suspended after a string of complaints against her by the sand mining mafia whom she had taken on. As she seized illegal dumpers, ordered arrests, insiders say, the mining mafia, with many being strong party supporters, the SP government was only waiting for an "excuse to do away with the inconvenient official".