The Turin Court of Appeal acquitted the former mayor Chiara Appendino of the accusations made in the Ream trial.
The judge's ruling also concerns his head of cabinet Paolo Giordana and the councilor for the budget Sergio Rolando.
In the first instance, Appendino was sentenced to 6 months' imprisonment for a hypothesis of forgery.
The accusations were linked to the failure to include in the municipal budget a debt of five million euros accrued by the city towards the Ream company for the conversion of the former Westinghouse area.
The former mayor Appendino, in the courtroom, welcomed the sentence in tears.
"They were liberating tears. But also tears of joy. My good faith was confirmed."
This was stated by the former mayor of Turin, Chiara Appendino, after the acquittal sentence pronounced by the Court of Appeal in the Ream trial "It was a painful page - she added - but now I'm happy and I can't wait to embrace the my family".