“For too long, the Labour Party in Hastings and Rye has deliberately goaded and baited Jews with hateful language and got away with it.
“This latest salvo is a disgrace and shows that the local party is infected with antisemitism.
“And now Jeremy Corbyn must immediately place the CLP under special behavioural measures and personally oversee efforts to treat this infection.”
The Hastings & Rye CLP motion said there was an “orchestrated campaign” over the party's antisemitism.
It called for the "immediate and conditional" reinstatement of Mr Williamson, who last week was suspended after he was revealed to have said the party was “too apologetic” about Jew-hate.
Ken Maitland, chair of Hastings and Rye CLP, rejected Ms Rudd's comments.
He said: "We are a vibrant, welcoming and diverse local party which is absolutely committed to fighting racism and antisemitism.”
A Labour spokesman said: “Downplaying the problem of antisemitism is offensive and makes it harder for us to tackle it.
“Motions about individual disciplinary cases are not competent business for CLPs, which are not involved in individual disciplinary cases and cannot influence them.
“We completely reject claims of institutional antisemitism.”
