New Delhi, May 29 -- The Board of Directors of Market Basket has suspended Chief Executive Officer Arthur T. Demoulas with immediate effect as the company conducts an internal investigation into his conduct, its board said on Wednesday.

The Board of Market Basket alleged that the conduct of Demoulas and several other executives threatened the company's operations.

The board said it is investigating "credible allegations that Mr. Demoulas began to plan a disruption of the business and operations of Market Basket with a work stoppage".

Demoulas however denied the allegations and said that the action was a 'hostile takeover' of the company.

"The company is currently operating at its peak performance and the notion that this board is goin...