ZAGREB, March 13 (Reuters) - Croatian authorities have temporarily banned the work of a local brewery, owned by Heineken group, because it is suspected of dumping carbon dioxide waste into local sewage, officials said on Tuesday.

"Environment inspectors have ordered the brewery to halt its fermentation unit, which effectively means they cannot work, until they put in place the proper anti-pollution system," a spokeswoman for the environment ministry said.

"As soon as they notify us that they have done so, we will send a new inspection team to check it out and, if everything is alright, they can resume work."

The issue reached the public after an elderly man who walked his dog near the brewery in Karlovac, 48 km (30 miles) southwest of capital Zagreb, fell into a coma and his dog died on Feb. 23.

The man has since been in hospital, with severe damage to his internal organs. The investigation is trying to see whether his condition was due to inhaling toxic waste from the brewery.

Many Karlovac residents have also complained of nausea and breathing problems, Croatian media reported.

The company has said it welcomed the investigation.

The Karlovac county court has ordered a preliminary investigation into five brewery officials, including the chief technical director and chief engineer.

"The court has questioned all five and will also question a brewery representative today, after which the judge will decide whether to start a formal inquiry," a court spokeswoman said.

The five are suspected of ordering the discharge of carbon dioxide -- a by-product of the fermentation process -- into the plant's waste water system, from where it reached the town's sewage and a nearby stream, state radio said.

After the inquiry, the judge can dismiss the case or indict the suspects. If convicted, they face up to 10 years in prison for endangering public safety, lives and property.

The brewery could also be ordered to pay a hefty fine.

The Karlovacka manager, Monique Peters, said in a statement: "We understand the community's concerns and we all want to clear up this situation. If the final outcome is that the brewery is responsible, we shall respect all legal consequences."

The brewery's has also launched its internal inquiry to establish how the CO2 had reached the sewage, contrary to its safety and environmental regulations.

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