The Exmouth council has been suspended for six months amid a multi-million-dollar corruption probe and alleged financial mismanagement.

The council was suspended following an investigation by the Corruption and Crime Commission (CCC), which “identified significant and serious levels of non-compliance with the Local Government Act 1995, in relation to procurement and tendering processes,” according to a statement from Local Government Minister Paul Miles.

The CCC has been looking into alleged financial mismanagement by senior staff members in the handling of a planned $30 million science and research hub, the Ningaloo Centre.

They also reviewed the awarding of a $1 million aquarium contract without calling for tenders.

Shire offices were raided in August last year, followed by a Show Cause Notice asking councillors to explain why they should not be suspended in December.

Days later, shire CEO Bill Price was sacked.

Mr Price later apologised for the aquarium contract.

“I tried my best, I hope I've made a bit of a difference and I'm sorry I've let people down, particularly the councillors and fellow staff and I just hope that Exmouth gets back to the way it should be,” Mr Price said at the time.

The Local Government Minister said he hoped it would be a lesson to other councils.

“I hope that other councils in the North West will look at what's being done at Exmouth, and may start looking at some of their own internal policies to make sure they are running effectively,” Mr Miles said.

“When I hear [chief executives] saying they didn't do the right thing when it comes to council, that the [chief executive] and the shire didn't do the right thing when it comes to tenders, that's got very serious consequences for the council as a whole.”

City of Kalgoorlie-Boulder former chief executive Ian Fletcher will act as commissioner for the council while the CCC investigation continues.

It is unclear whether criminal charges will be laid.