Sale Sharks have terminated the contract of Tom Arscott amid claims he passed on team information to Premiership rivals Bristol.
The Sharks confirmed this week that versatile back Arscott had been suspended since January 4.
On New Year's Day, Sale surrendered a 15-0 lead to lose 24-23 at home to a Bristol squad containing Luke Arscott, the brother of former Bristol player Tom. Luke was an unused replacement that day at AJ Bell Stadium in Salford, while Tom was not in the hosts' matchday squad.
Sale held an internal investigation and hearing on the matter and have confirmed that Arscott's contract has been terminated.
A statement from chief executive Jon Dorsett read: "Sale Sharks have terminated the contract of Tom Arscott with immediate effect following a disciplinary investigation and hearing.
"No further comment will be made in accordance with the club's disciplinary procedure."
Bristol vehemently denied any wrongdoing after the allegations emerged and released a statement that read: "We have been made aware of a complaint from Sale Sharks, which is now being investigated by the RFU [Rugby Football Union].
"The club are absolutely confident of no wrongdoing in this matter and will fully co-operate with the investigation."
Arscott joined Sale in 2013 and played 53 matches for the Sharks, who are 10th in the Premiership table.