Doubt has been cast over the role of a councillor leading a secret investigation into a chief executive at the centre of a sex discrimination row.

Councillor John Lovell was banned from sitting on the selection panel which appointed Worthing Borough Council chief executive Sheryl Grady after being accused of "bias" against her bid for the job.

About the same time, in 2000, he also submitted a complaint about Miss Grady to the District Auditor.

Her supporters say the revelations make Coun Lovell's position as chairman of a four-strong cross-party special personnel committee "untenable".

They argue that he holds the casting vote which could influence the future of Miss Grady's career.

But Coun Lovell was backed by council leader Sheila Player who has been named by Miss Grady in a sex discrimination case due to be heard in Brighton next month.

She said: "I don't think he is biased in any way. When Sheryl Grady was appointed, John wrote to her and said, 'We haven't agreed with the process but congratulations on getting the job'."

Coun Lovell said: "All I can say is the council is following the approved procedure for dealing with the case. We have taken external legal advice and are making every effort to be fair to both sides in the matter."

However, cracks have now started to appear in the ranks of the special personnel committee, made up of two Liberal Democrats and two Tories, spearheading the investigation.

Tory councillor John Livermore, who sits on the committee, said: "I share the concerns. It could be making his position untenable or not as straightforward as I and the public would like it to be.

"If it were to come to a 2-2 at committee, John would have the casting vote."

But he insisted any recommendations tabled by the committee, which was meeting today, would have to be ratified by the full council.

Councillor Keith Mercer, leader of the opposition Conservative group, said he would raise the matter with senior council officers.

Councillor Player, who has vowed to vigorously defend the action, confirmed Coun Lovell was barred from sitting on the panel which selected Miss Grady.

She recalled: "At the time of the appointment, the Lib Dem group queried the selection process.

"What we were saying was the job should have been advertised internally as well as externally so we got the best possible field.

"At no time whatsoever did anyone argue against Sheryl Grady as an individual."

She believed Coun Lovell to be impartial, adding: "His position is tenable. We are sticking to the rules and shall stick rigidly to the proper procedures."

There has been no comment from the council about claims it had approached Miss Grady's lawyers asking her how much she would accept to settle the case out of court.

The Argus understands that Miss Grady, who has been on sick leave since December, has rejected a financial settlement and wants her £80,000 a year job back.