Michael Diamond has been ruled ineligible for nomination for the Rio 2016 Olympics, following criminal charges relating to use of a firearm and drink-driving.

Shooting Australia chief executive Michael Marangon said the body arrived at its decision after considering Australian Olympic Committee (AOC) nomination and selection standards.

"The incident involving Michael Diamond has, in our view, put our sport in a position which is inappropriate," Mr Marangon said.

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The Australian Olympic Team's chef de mission Kitty Chiller made the announcement this afternoon.

"The AOC executive supported Shooting Australia's decision not to nominate Michael to the Rio team," Ms Chiller said.

"Michael does have a further right of appeal, to appeal its non-nomination.

Mr Marangon said Shooting Australia officials had made the decision with a heavy hearts.

"There are a range of factors and obviously all those things, put together against that criteria meant that Shooting Australia were not in a position to nominate Michael to the AOC.

"Michael is a champion of our sport, so clearly this decision was not an easy one."

Ms Chiller said the AOC would not exercise its discretion to excuse the breaches.

AOC chief executive Fiona de Jong said: "the executive felt there was no basis on which to excuse the breaches".

Members of the AOC executive said they felt it was imperative that Diamond be afforded "natural justice".

A statement from Shooting Australia said the organisation had been in regular contact with Diamond throughout the process and would continue to offer him support.

"This is an extremely difficult time for Michael and Shooting Australia will continue to be there for him as he needs," Mr Marangon said.

The statement said Diamond had a right to further appeal his non-nomination and no further comment would be made on the matter at this time.

Diamond declares his innocence against charges

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Earlier today, Diamond declared his innocence and vowed to fight for his selection on the team.

Diamond's Olympic dream was suspended in May when he was charged with drink-driving and firearm offences after being pulled over by police at Shoal Bay, north of Newcastle.

The two-time shooting Games gold medallist and his legal representatives fronted the Australian Olympic Committee's (AOC) executive board in Sydney today to explain why he should be still allowed to compete in Brazil while facing the charges.

His case is not scheduled to resume until July and the charges had left the two-time Olympic champion without a license to train in preparation for what stands to be his seventh Olympics.

On his way into the hearing at AOC headquarters in Sydney, earlier today, Diamond said he would be defending his position.

"I'm innocent, totally innocent. And I'm prepared to fight it all the way," he said.

"I'm a professional sportsman at the end of the day, and obviously going to seven [games] in a row, that should say something."

Earlier, the AOC reportedly wrote to the International Shooting Federal to clarify whether Diamond was still allowed to compete at the Olympics without a gun licence.

Shotgun and ammunition allegedly found in car

The 44-year-old was allegedly involved in a domestic incident with his brother at Nelson Bay, north of Newcastle before being stopped by officers on the road.

Police said he refused to undergo a roadside breath test and when police searched his car they allegedly found a shotgun and 150 rounds of ammunition.

He was later charged with high-range drink-driving, not keeping a firearm safe and using a firearm while under the influence of alcohol.

The trap shooting veteran has competed in six previous Olympic Games.