A former leader of Swansea Council has been arrested after indecent images were allegedly found on his council-issue laptop computer.
Mr Bailey led Swansea Council until Labour lost control in 2004
Lawrence Bailey, 51, has "emphatically denied" the claims and was given police bail following his arrest on Friday.
The councillor said he had given police his complete co-operation.
A former Lord Mayor of Swansea, he stood down as Labour leader in 2004 after the party lost power in the city for the first time in 25 years.
In identical statements given to the Swansea-based Evening Post and the Western Mail Mr Bailey said: "My family and I are shattered by these events and we are anxious for the matter to be resolved quickly.
"I have emphatically denied these allegations and following my brief arrest on Friday evening, I was released without charge the same night.
"I have given the police my complete co-operation in their investigations and am in no doubt that this matter will be fully resolved."
Mr Bailey is a Labour county councillor for the Birchgrove ward in the city.
A spokesman for South Wales Police said: "We have arrested a 51-year-old man in relation to possession of indecent images.
"He has been bailed pending further inquiries."