Fianna Fáil says it's spoken to Waterford general election candidate Eddie Mulligan about his failure to make the party aware of his financial difficulties.
The High Court disqualified the councillor from acting as a company director in 2017 due to the management of a family hair salon.
The ban remains in place until 2024.
A Fianna Fáil spokesperson told the Irish Times that it received an explanation from Eddie Mulligan, and the party will now consider this explanation as it decides on the most appropriate response.