CHIEF CONSTABLE Barry Shaw faced calls to quit last night as Britain's longest running police corruption inquiry Operation Lancet ended with no criminal charges.

The controversial investigation cost millions, left Cleveland constabulary racked by internal divisions, and saw scores of front line officers investigated for possible criminal conduct.

Since the investigation began, burglaries in Middlesbrough have soared by 36 per cent.

And Mr Shaw himself is now under investigation over allegations he approved the leaking of a confidential Treasury Counsel report critical of the zero tolerance methods pioneered by Detective Superintendent Ray Mallon, the highest profile casualty of Lancet.

Last night, Supt Mallon appeared to be no closer to returning to work.

Supt Mallon - the tough-talking detective who brought zero tolerance policing to Britain - remains suspended on full pay awaiting the results of a disciplinary hearing.

He said yesterday that the investigation had diverted precious resources away from the fight against crime.

He added: "This is a clear vindication of my style, of these hardworking detectives and also of zero tolerance policing.

"But it is not a cause for celebration. I have not won, Lancet has not won and the people of Cleveland who face a six million pound bill have not won.

"Imagine what a difference this money could have made to the people of Teesside if it had been put into front-line policing.

"The Chief Constable should now do the decent thing and re-instate myself and the other suspended officers. Let us get back to what we do best - fighting crime."

He said: "The burden of proof required for a disciplinary conviction is exactly the same as that for a criminal conviction. Therefore logic dictates there is no evidence."

Operation Lancet started on September 24, 1997, and was set up to look into the behaviour of Cleveland police officers, including allegations that drugs were offered to criminals for information.

Sixty-one officers were investigated during Lancet and eight, including Supt Mallon, were suspended from duty.

Forty-eight files were delivered to the CPS, containing almost 14,000 witness statements, documents and other reports.

But, despite the mountain of paperwork, there was insufficient evidence to support a prosecution in any of the 393 criminal allegations.

Yesterday, the police authority agreed its budget of £90m for next year with the money available for special inquires, including Lancet, being increased from £1m last year to £1.5m.

Last night, pressure was growing on Mr Shaw, who launched the investigation, which is believed to have cost more than £6m, and Police Authority chairman Ken Walker.

The Chief Constable refused to comment last night but Mr Walker said: "No one likes the fact that Lancet has taken so long and cost so much money.

"But that should not be allowed to detract from the fact that it was launched because the Chief Constable and his senior officers feared that both their drive against drugs and possibly the safety of officers taking on the drug dealers was being threatened."

Lord Brian Mackenzie, a Home Office law and order advisor, disagreed.

He said: "It beggars belief that an inquiry - trumpeted as Lancet was by the force and the Police Complaints Authority - should fail to turn up a single criminal offence.

"An inquiry should be held to establish what evidence there was at the outset to justify such a massive use of police manpower and public money."

Ashok Kumar, Labour MP for Middlesbrough South and East Cleveland, demanded immediate resignations.

"This has been a very expensive farce," he said.

"The inquiry has moved at snail's pace. It has been disastrous for public confidence in Cleveland Police. In the name of God, go."

Stockton South Labour MP Dari Taylor was "absolutely delighted" that there would be no prosecutions.

She added: "We must have an investigation into this, independent of the police, that is quicker, and the cost of which should be met by the Home Office."

However, Frank Cook, Labour MP for Stockton North, said the Chief Constable had been complying with agreed police procedures.

Anyone who was calling for his resignation had "got to be blissfully ignorant of the chain of management and the chain of command".

One of the suspended officers, Detective Constable Brendan Whitehead, said yesterday: "The effect Lancet has had on the health of suspended men and the morale of the force as a whole has been devastating.

"Our only crime was to work long hours without pay, to put criminals behind bars and make the streets safer for the people of Middlesbrough.