Guide Dogs Victoria has stood down chief executive Karen Hayes pending an independent investigation into her political endorsement of Treasurer Josh Frydenberg.
Ms Hayes appeared in a social media video posted on Mr Frydenberg's Facebook page last week, and she featured in letterbox flyers dropped off in the seat of Kooyong.
In a flyer, Ms Hayes is pictured holding a guide dog puppy alongside the words "Why I am supporting Josh Frydenberg".
The letter was signed "Karen, Chief Executive Officer, Guide Dogs Victoria".
Last week Guide Dogs Victoria released a statement saying the board did not know about the political endorsement until it was made public and announced an investigation had been launched.
A fresh statement from the charity said Ms Hayes had been stood down "following the distribution of political materials that included comments from the CEO purporting to be on behalf of Guide Dogs Victoria and publicly endorsing a political candidate".
"The board had no knowledge of this and did not endorse it," the statement said.
"The independent investigation is underway and is ongoing.
"It would be inappropriate to comment further while the investigation is continuing."
Last week the charity requested the material be "immediately removed from circulation".
A spokesperson for Mr Frydenberg described the news as "extremely disappointing".
"Ms Hayes has been a highly effective and widely respected CEO of Guide Dogs Victoria for more than a decade," the spokesperson said.
"In this time, she has significantly strengthened the organisation, its finances and community outreach.
"Josh has worked closely with Ms Hayes and Guide Dogs Victoria over many years in his capacity as the Member for Kooyong, including on major infrastructure projects."
The spokesperson said Mr Frydenberg would await the outcome of the investigation before commenting further.
