Parramatta officials say they have few issues with star halfback Tim Smith being intoxicated in the early hours of Saturday morning, despite the troubled youngster being just three months out of a Gold Coast rehab clinic.

Smith was found to have no case to answer after he and several of his teammates were dobbed in for drinking late into the night at a Parramatta nightspot at the weekend.

The tip-off came through an anonymous call to Sydney radio station 2GB.

It was initially thought Smith's contract at the NRL club would be in jeopardy due to a drinking ban imposed on him in December last year.

But Eels chief executive Dennis Fitzgerald said the ban was no longer in place, confirming that moderate consumption of alcohol was permitted as part of Smith's rehabilitation.

"As long as it's not to excess and it's not too regular," Fitzgerald said.

"No-one knows better than Tim that he's got his back to the wall coming back and he's got to be on his best behaviour.

"He knows all the pitfalls, though it doesn't necessarily guarantee he'll come out at the other end.

"We're disappointed that they all weren't out of there by 2am, however the fact that they weren't causing any problems to people or property means that they've got very little case to answer."

Smith is set to turn out for the Eels' NSW Cup feeder side Wentworthville this weekend as continues his comeback from off-season shoulder surgery.

The 23-year-old also missed part of the pre-season when suspended by the club following after a display of public drunkenness down a Parramatta street last December.

That incident prompted him to check himself into a rehabilitation clinic, and he returned to training in the new year claiming he was ready to mend his ways.

But former Parramatta great Brett Kenny claims the serial offender will forever live in the shadow of his past indiscretions.

"He probably didn't do anything wrong but the unfortunate thing is he has done some silly things in the past," Kenny said.

"Once you do, it doesn't matter how much you try and get on the straight and narrow and be the golden haired boy, he is still going to be the first name they pick up if they see you somewhere, and that's what he's got himself into now, he's one of those serial offenders.

"Every time something happens, he's only got to be there and you bet your life he's the first person they name."

Kenny said Smith was fast running out of chances.

"If it was me I probably would have got rid of him after the last incident," he said.

"I would have said `that's it, see you later', I wouldn't have put him into rehab or anything."

Fitzgerald claimed Smith's greatest crime may have been poor judgment with his timing, and not just in the lateness of his night out.

The incident comes just a week after the Kings Cross drive-by shooting which resulted in Eels trio Jarryd Hayne, Weller Hauraki and Junior Paulo all being stood down for this weekend's season opener against the Bulldogs.

"From our point of view, we don't like the adverse publicity, but by the same token, we've got to defend our players if they haven't caused any problems in the community," Fitzgerald said.

"The players aren't banned from drinking alcohol and aren't banned from being out at a certain time but they're very well aware of their responsibilities and about how difficult it is for them just to go out and enjoy themselves.

"I'd like to think the message has got through, but I'm not giving any guarantees."

Eels coach Michael Hagan questioned the motives of the caller, who Fitzgerald noted had not bothered contacting the club at all with his concerns.

"Sometimes I think we've got some people that are very happy to make complaints against players and football clubs when maybe you could question their intent," he said.

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