The companies whose factory licences have been cancelled are Zemini Sea Food Ltd, Bionic Fish, Bionic Sea Food, National Sea Food, Fresh Foods Ltd and Rupsha Fisheries.

The temporary cancellation orders were issued by the Department of Fisheries (DoF) following a probe by a four-member body headed by a Deputy Secretary of the Commerce Ministry.

The probe body recently visited the factories and quizzed all the six exporters facing the EU allegation but is yet to submit its report to the government, sources said.

The action has been taken under "to save the country's image from being tarnished", a DoF official told this correspondent on Tuesday.

The DoF official said the EU importers alleged that their consignments contained hazardous substances like Salmonella, Nitro-furan and mercury droplets, which are injurious to health.

The central body of Bangladesh Frozen Food Exporters Association (BFFEA) has also received copies of suspension order, signed by the DG of DoF, he said.

When contacted, sources at the Khulna unit of BFFEA said the allegation has been made "without any basis".

"Consignments were checked and rechecked after they were shipped from Mongla Port in 2001. Then they were found without any hazardous component", the sources said.

"The EU allegation is not at all true and the suspension order is illegal", said one of the exporters.

"Our apex body has already urged the government to withdraw the cancellation orders", he said.