Last Friday, insurance company FBD released a statement to the Irish stock exchange that it had launched an investigation into internal allegations made against its chief executive, Fiona Muldoon.

The statement said the investigation relating to this matter is ongoing and that she remains in her position as chief executive of FBD.

Muldoon, who also sits on the board of Bank of Ireland, was appointed CEO in October 2015. She was paid €1m last year from FBD which included a bonus of €472,000.

Following the announcement by the board, there has been very little trading in the shares. On Monday shares closed up 2% at €10.80 but closed down 3% on Tuesday at €10.45.

This news comes as Fairfax Financial, the Canadian investment firm owned by Prem Watsa which pumped €70m into FBD in 2015, can exercise its option to take a 20% shareholding of FBD from September.

The company is set to announce its half-year results in four weeks’ time.