Lib Dem council candidate 26-year-old Karl Lindon, a civil servant from Camberwell, London SE5 was arrested when his details were found on a computer seized in a separate arrest.
The Met's Paedophile Unit began an investigation and in 2006 arrested Lindon at his home address and seized his computer. On it they found 2,500 indecent images of children and established he had been sharing images with a network of 47 other online paedophiles.
All 47 people have now been identified, some have now been dealt with through the courts and the details of the other were given to relevant UK forces and to US law enforcement, where the majority were from.
FOOTNOTE -------------------- Was this the Worst Council in Britain?
A lib Dem-run council hit by a string of scandals has been branded the worst in Britain.
A candidate was jailed for Child Porn, one councillor runs an Adults-Only Website, and a former deputy mayor was accused of Aiding Terrorists.
Another member of Southwark council is a Convicted Drink-Driver.
And the local authority was also slammed for spending £300,000 a year on Food and Drink at Meetings.
Former candidate Karl Lindon, 26, was jailed for three years in May for having 2,500 indecent images of children on his PC.
He canvassed for the party but pulled out of the 2006 local elections at the last minute.
Eliza Mann, an ex-Lib Dem mayor, was accused by Sri Lanka's Ministry of Defence of having links to a group that raises funds for the Tamil Tigers. She denied the accusation, and said: "I campaign for the independence of the Tamil people in a peaceful way." Police confirmed she was not being investigated.
Denise Capstick, the South London council's head of health services, was recently fined £500 for drink driving and given an 18-month ban. But Lib Dem council leader Nick Stanton said she did not need to resign as "she didn't crash".
One resident said: "This lot are a complete shower."
The national Liberal Democrat Party said "We have no comment about any of this."