After five days of deliberations, a jury found Belnick not guilty on all eight counts against him, which also included charges of falsifying business records.
Belnick was on trial for more than two months on charges he stole bonuses, defrauded Tyco shareholders and falsified documents to hide almost $15 million in loans he took from the company.
Their first trial ended in a mistrial two months ago, after one of the jurors received what was deemed a threatening letter from a man not involved in the case.
The two are accused of looting about $600 million from the company. They have been charged with grand larceny, securities fraud and possession of stolen property, among other crimes. Kozlowski and Swartz have pleaded not guilty to the charges.