Elements of recurrent excitatory synaptic loops are present within sensorimotor control loops in the brain. Such positive feedback loops can cause self-amplification, which is potentially dangerous for the brain (as in epilepsy) or which may cause disruptive effects on of the information passed within the neuronal circuitry. Here we introduce a simplified nonspiking neuron model, whose output accurately reflects summated synaptic inputs, with which we performed simulations of highly connected networks composed of excitatory and inhibitory neurons in equal proportions. The neuron model could be optionally equipped with a dynamic leak, i.e. dynamic short-circuit to the resting membrane potential, equivalent to a membrane time constant. Synaptic weights were randomly assigned across the network according to a range of different types and ranges of distribution. Networks were provided with random and semi-structured sensory inputs and we studied the spread of activity through the network. We find that in neurons without dynamic leak, recurrent networks produced high frequency noise components that were not present in the input signal, across all synaptic weight distributions. The addition of dynamic leak consistently removed such high frequency noise. Conduction delays between neurons, when explicitly included, tended to worsen the high frequency noise, which was rescued by dynamic leak also in this case. Our findings suggest that neuronal dynamic short circuit of voltage deviations towards the resting potential serve the beneficial function of protecting recurrent neuronal circuitry from inducing itself into spurious high frequency signal generation, thereby permitting the brain to utilize this architectural circuitry component.