Camborne and Redruth Conservative Association has confirmed that a councillor who hit the news after an investigation found he did not have a claimed MBE, is to resign from Cornwall Council.
A spokesman for the association said that following a "thorough investigation into the allegations" regarding Terry Wilkins, Mr Wilkins had tendered his resignation which has been accepted.
Mr Wilkins will resign from both the authority and his local Conservative association.
Mr Wilkins faced calls to step down over the false claim, which he claimed was the result of an "elaborate and malicious hoax", by an “aggrieved ex-colleague”.
The Central Chancery of the Orders of Knighthood has said it had no record him receiving the honour, saying: ""Despite a search we can find no trace of any living person with the name Terence (or Terry, Terrence or Terrance) E Wilkins having received an MBE or any other British honour for which we hold records."
Mr Wilkins has blamed a hoax by a former colleague for the 'unwitting' mistake, adding he had received an official looking letter confirming the award and a medal while a special constable with the Metropolitan Police in London.
He did not attend any ceremony as he was "embarassed" at the time.
Mr Wilkins, a Cornwall councillor since 2009, has been using the title MBE in emails and his profile on the Cornwall Council included the false claim, until recently.
A second claim online that he had a degree pending from the Open University was also found to be false, with this blamed on "playing a game" with a person he wanted to "embarrass".