Blue Cross chief executive Kim Hamilton has resigned following press allegations of impropriety at the charity.

Earlier this week the Blue Cross criticised The Sunday Telegraph for its coverage of the suicide of Melanie Brown, a former employee. The paper alleged she had relationships with both the charity’s chief executive and its director of fundraising, Mike Crossley.

According to the Blue Cross, Crossley left the charity in 2012 for purely performance-related reasons.

Eight months after Crossley left Blue Cross, Melanie Brown committed suicide. There is no suggestion that her alleged relationships with Hamilton and Crossley were in any way linked to her suicide.

In a statement on the charity’s website today, Zair Berry, chair of Blue Cross, said: “We have all been deeply shocked by the recent speculative and inappropriate allegations made in the media relating to the tragic death of Mel Brown, which is still the subject of a coroner’s investigation. She was a much loved colleague and all of us have been deeply upset by the newspaper stories. We are also aware of the distress this has caused Mel’s family and they continue to be in our thoughts.

“The allegations that have been made in the press are unsubstantiated. However, the board of trustees and Kim Hamilton, chief executive, are aware of the damage caused by the coverage and sadly I must advise you that Kim has decided to step down and has tendered her resignation.

“She has done so with the best interests of the charity at heart and remains committed to Blue Cross, a charity which she continues to hold dear. I would like to thank Kim for all that Blue Cross has achieved under her leadership and I and the Board very much regret that she has felt it necessary to stand down in these circumstances.”

Huw Davies, director of finance and resources, will act up as deputy CEO for the time being.

A note in Blue Cross’ most recent annual accounts states: “One employee who is no longer employed by Blue Cross received £174,233 during the course of the year.”

Brown, originally from Wokingham, Berks, was found hanged at her flat in Cirencester, Glos, last August. An inquest into her death is due to be held later this year.