Linda Freedman was suspended last May after John McDonell MP tweeted a screenshot of her 2016 tweet which he said “seems to support the detention of Muslims”.
She had recently been elected to Barnet Council, and the same day its Conservative group withdrew the whip and her local Hendon Conservative Association suspended her.
However, it has now emerged that Cllr Freedman’s suspension was lifted at the end of last year.
Deputy leader of Barnet Council’s Conservative group, Cllr Daniel Thomas, said: “She was suspended from the party and the whip was withdrawn whilst allegations were investigated.
“At the time we were hoping for a speedy resolution. Then fairly shortly afterwards, central office did reinstate her membership. It was after a matter of months, just at the end of last year.”
The tweet which led to her suspension was in response to a Washington Post tweet linking to a story written by Star Trek actor George Takei in which he ward against interring Muslims in the US.
She replied: “They interned my German ones for 1 year during WW2. It was the right thing to do for the sake of security.”
The news of her reinstatement comes at a time when the Tory party is embroiled in a row over its handling of Islamophobia, with claims it is failing to properly investigate complaints.
Cllr Freedman, who was born and grew up in Brighton, was elected chair of Brighton and Hove Conservatives in March 2013, a post she held for about a year.
She moved to Barnet in December 2016, shortly after the tweets in question were posted.
Cllr Freedman has been approached for comment.