The council will be guilty of “criminal activity” if it does not proactively refund all drivers fined by uncertified CCTV cars, it has been claimed.

Campaign groups London Motorists’ Action Group and NoToMob claimed Richmond Council was stealing money from motorists after the authority only pledged to repay those who appeal wrongfully-issued fines.

The council has set aside a reimbursement fund of more than £1m after admitting its camera cars unlawfully issued more than 18,500 parking fines between April 2009 and April 2011.

However, critics said the authority had not gone far enough and accused it of trying to minimise the payouts. They said many drivers would not have time go through the appeals process or would never learn about the refunds.

Lord True, leader of Richmond Council, said at a cabinet meeting on Thursday, July 21, that it could face “no more serious allegation” than carrying out criminal activity.

He said: “I can assure you the point that’s been raise about theft and appropriation has been considered by leading counsel [the council’s lawyer] and we act in full knowledge of that advice and on that advice.

“The more of this money is repaid the happier I will be.

“Our advice is, as it is now, that this is the maximum we can do, to try and make sure as many of these people know of their rights.

“That’s what we hope to do and I hope we don’t get into a prolonged conflict over this matter.”

Peter Ashford, of the London Motorists’ Action Group, listed a string of cases at the meeting where other councils had automatically refunded drivers who were wrongly fined.

He said: “The first they knew about it was when they’ve been refunded, there’s nothing stopping any council from doing this. They were paid proactively.”

The council has taken advice from an “increasingly expensive” Queen’s Counsel, a leading barrister, about the cases and is expected to approve plans at a meeting on September 14 to only repay drivers who appeal.

Lord True said: “The council normally has a 28-day appeal deadline for penalty charge notices. However, we are proposing to go beyond our normal powers and extend this period using a discretion that is available to us.”

For more information or to sign up to receive e-alerts on the refunds, visit richmond.gov uk/appeals_for_fines_issued_by_camera_cars.