An effigy of US President Barack Obama was burned over the weekend by members of the Conservative student association at St Andrews University.
The incident is understood to have taken place on Friday evening on the town's East Sands beach.
One of those who attended told the BBC that members of the association had "no input" and were "surprised" to discover Obama was on the bonfire.
The St Andrews Conservative Association apologised for any offence caused.
The university said it was aware of the reports and was seeking clarification.
Matthew Marshall St Andrews Conservative Association"It was a stupid thing to do and we apologise for any offence caused”Suggestions that the effigy was also wrapped in an EU flag have been denied.In a statement, the university said it had asked to meet the president of the society to discuss "very understandable concerns".
It is understood that the university's discipline officer will be present when the meeting takes place.
Matthew Marshall, president of the St Andrews Conservative Association, said: "President Obama is an important ally to the British government. It was a stupid thing to do and we apologise for any offence caused."
A former chairman of the university's Labour society described the burning as "disgraceful".
James Mills said: "I can't imagine any other student activists of a major political party would behave in this manner.
"It's disgusting and I hope the Conservative Party and the prime minister completely come out and condemn this obscene act."
He added: "The last thing a truly modern party should be doing is burning an effigy of anyone let alone the first black president of the USA, one of our closest allies."
The same society has burned effigies of Gordon Brown and former South African president Nelson Mandela in the past, along with one of Mr Mills
What started out as an expression of free speech has turned into a cringing submission to political correctness:
were the mozlems scum who burned the American flag on September 11 anniversary, outside the US embassy in Grosvenor Square, accused of racism and ordered to apologise?? No! Are the thousands of filth-encrusted Occu-turds in the US being arrested for desecrating their own flag? No! Are they being censured by the authorities and their universities for the vile anti-semitism they are spewing on their banners? No!
And now a new "hate crime", which is far worse than any of the above: wrapping an effigy of the jihadi in chief in an EU/Fourth Reich flag!!
And for a Tory student to say that Obama is an important ally of the UK(America is but not under this fifth columnist!!) shows the depths the Tory party has descended to: they are finished as a force.