Minister for Transport Martin Cullen has sought the advice of Attorney General (AG) Rory Brady regarding a director of the State port company in Limerick, against whom serious allegations of impropriety have been made.

Mr Cullen's consultations with the AG follows the suspension on Thursday night of the chief executive of the Shannon Foynes Port Company while the same allegations are under investigation.

The chief executive, Brian Byrne, and the director in question deny any wrongdoing.

The affair arises from claims of impropriety which were made by Limerick businessman Brian Cosgrave, a haulage contractor.

His verbal allegations to port company chairman Kieran MacSweeney in August led the board of the company to establish an investigating committee under the stewardship of retired civil servant Michael Guilfoyle.

The investigation started only this week when Mr Cosgrave provided a written statement to the board of the company.

Mr Byrne was subsequently suspended by the board of the company. Mr Cullen has taken legal advice because only he has the power to suspend or dismiss a non-executive director of a state company.

"The Minister was informed today. He has been kept fully informed of the developments by the chairman," Mr Cullen's spokeswoman said.

"The Minister is consulting with the Attorney General before deciding if any further action should be taken at this stage.

"In the interim we will not be making any further comment."

In its first public remarks on Mr Byrne's position, the port company said in a statement yesterday that it was determined to achieve a speedy conclusion to the issue.

"As a result, chief executive Mr Brian Byrne has stepped aside, on full pay, on the instructions of the board in accordance with the terms of his contract," the company said.

Mr Byrne has said Mr MacSweeney told him he was suspended during a phone conversation after the close of business on Thursday when he refused to step aside voluntarily.

The company said the board's decision was without prejudice to the inquiry.

"This will afford Mr Byrne the opportunity to give his full and undivided attention to answering these allegations," it said.

"Shannon Foynes Port Company has today confirmed that verbal allegations received by its board in August against chief executive Mr Brian Byrne and a director of the board have now been made in writing."

Financial controller Pat Keating is now interim chief executive and company secretary Frank Lynch is interim financial controller.

The Irish Times incorrectly reported on Thursday that the company planned to continue selling a 44-acre docklands site in Limerick.

Its spokesman said no determination has been made in relation to the sale process, which is suspended.

"This is all part of the Limerick Docklands Initiative. We are examining all possibilities and engaging with all relevant parties," he said.