Leinster Senior League chairman, David Moran, said suspicions first arose on Monday morning regarding Ballybrack FC's claim that one of their players had died in a car crash last week.
The club announced that Spaniard, Fernando Nuno La-Fuente, had died while travelling from training on Thursday night. It later emerged that the player had not died.
"The story started to unravel on Monday morning when we requested information on the removal of the player," Moran told RTÉ's Prime Time.
"The lad is a foreign national so we tried to get one of the league reps there to see if we could help in any way.
"We were told that he was flown back to Spain on Saturday - the alarm bells started ringing then."
Over the weekend, clubs in the league held a minute's silence and wore black armbands in La-Fuente's honour.
Moran said that the league will meet on Thursday to discuss the matter. It has not yet been confirmed if the club broke any rules.
"Obviously, we were more concerned about the well-being of the player. We've since found out that he's well. Obviously, the statement that we issued in the [The Herald] newspaper on Monday was wrong and we've retracted that now. It was done in good faith."
In a statement released on Tuesday, Ballybrack FC said the person responsible for the claim that the player had died has been relieved of all football duties within the club.
Asked by David McCullough if the claim had been made in an attempt to get a game against Arklow Town cancelled, Moran said:
"It looks like that. It was done because they couldn't field a team. It just seems a bit extreme to do something like that."
