A probe is under way into the misuse of property at Dundee City Council’s environment division.
Earlier this year an investigation into missing tools led to one senior worker at the environment division’s Clepington Road base losing their job.
A senior team member also had their computer seized during the probe, which centred on material and tools being booked out for personal use and then not being returned.
It is understood the new investigation is looking at several members of staff within the division over possible misuses of council property.
A council spokesman said: “It would not be appropriate to comment on personnel issues.”
Unite regional industrial officer Bob MacGregor said: “None of our members are being investigated and we have not had any contact from the council about possible fraudulent behaviour by any of our members.
“But we have heard rumours people are being investigated, although we do not know how much substance there is to that.”
Dundee City Council has been cracking down on potential fraudulent behaviour by its employees since a former IT officer was able to embezzle more than £1 million over the course of seven years.
Mark Conway, 52, stolen the money after running up huge debts on gambling websites.
A judge at the High Court in Glasgow told Conway, from Brechin, that he had committed a “serious breach of trust”.
He was sentenced to five years and four months in prison in August last year.