ACT Liberal MLA Chiaka Barry has denied threatening fellow Liberal MLA Leanne Castley during a meeting last month, saying any concerns were addressed immediately at the time.

In a statement, Barry said she believed recent public commentary about an alleged threat of violence referred to a meeting in early May involving Opposition Leader Mark Parton, Castley and herself.

The meeting followed what Barry described as “an inappropriate exchange” between herself and Castley in the Legislative Assembly chamber the previous day.

“During the meeting Ms Castley apologised for that exchange, but it was still an animated discussion,” Barry said.

“I understand that Ms Castley perceived momentarily that there was a threat made against her, but after Mr Parton’s intervention I very clearly clarified that this was not the case.”

Barry said she believed the matter had been resolved at the time.

“Given the public discussion surrounding these events, I believe it is important to clear the air and confirm that concerns raised at the time were addressed immediately.”

The statement comes a day after Castley dramatically resigned from the ACT Liberal Party room and moved to the crossbench, citing a breakdown in trust and concerns about the party’s internal culture.

In her resignation statement on Wednesday, Castley referred to an incident in which she said she felt threatened during a meeting with a colleague. While she did not name the colleague, the allegation sparked widespread speculation within political circles.

Castley’s departure has reduced the ACT Liberal Party’s numbers in the Assembly and intensified scrutiny of Opposition Leader Mark Parton’s handling of internal party tensions.

Parton has previously described the dispute as a matter that had been addressed internally but has faced calls to provide more detail about the circumstances surrounding Castley’s exit.