Two of the most senior staff at Scottish Enterprise have been suspended pending an investigation into allegations of misconduct, The Herald can reveal.

Two of the most senior staff at Scottish Enterprise have been suspended pending an investigation into allegations of misconduct, The Herald can reveal.

Colleagues at the job creation and training body, which faces a major review of its activities less than a month from now, were shocked by the allegations.

Both senior officials were ordered to clear their desks and leave the building following allegations of serious misconduct, it is understood.

The allegations are understood to involve Charlene O'Connor, the senior director of skills and learning, and her deputy Isobel Brown.

A spokeswoman for the agency said: "Following internal system checks picking up potential irregularities in procurement procedures and rules on conflicts of interest, a full investigation is currently under way in accordance with Scottish Enterprise's established procedures.

"As part of this process, and as a standard measure, two members of staff have been excluded from work to allow a full and thorough examination of the allegations made. It would be inappropriate to comment further at this time."

The allegations could not have come at a worse time for the agency, which will learn on September 26 what the government proposes to do about its structure and remit.

The agency's training function has been in the firing line, with industry observers predicting this would be removed from the remit of the organisation.

Jim Mather, the Enterprise Minister, said that a restructuring would seek to "de-clutter" and "sharpen" the agency.

However, The Herald understands that the suspension of Ms O'Connor and Ms Brown is for disciplinary matters which do not relate to the proposed restructuring.

Neither executive could be contacted for comment last night.