Former High Court judge Richard Henriques said the force made "numerous errors" during the investigation known as Operation Midland, including placing too much belief in the sole complainant.
The probe examined allegations that a group of pedophiles linked to senior levels of British politics and law enforcement abused children in the 1970s and 1980s.
The two-year investigation, which cost USD 2.5 million pounds (USD 3.1 million), was closed in March without any arrests or charges.
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