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The 27-year-old, who returned from a 20-month ban last March after being caught taking drugs at the 2008 Tour de France, has been suspended by his Vacansoleil team and Italy's anti-doping body has started disciplinary proceedings against him.
Blood transfusions to boost performance are illegal under Italian sports law.
Reports claimed Ricco made himself ill by injecting blood which had not been stored properly. Blood transfusions are a well-known method of enhancing performance, especially among endurance athletes.
A Vacansoleil statement issued on Friday meanwhile suggested they had found enough proof of a doping infraction to suspend the Italian, and were taking legal advice about ending his contract.
"Internal research results following the illness and rumors regarding Ricco have given the team sufficient reason to suspend the Italian with immediate effect," the statement said.
"Last Tuesday, the team started an urgent investigation following the hospitalisation of Riccardo Ricco. Three days later the results of this study brought the team to the conclusion that an immediate suspension of Ricco was required.
"The violation of internal regulations of the team and other indications justify this measure. Today Ricco received a registered letter on this matter.
"The team cannot prejudge but emphasises that a zero-tolerance policy towards doping is practised."
Last week the Gazzetta dello sport newspaper cited an unnamed doctor at Pavullo hospital - whose emergency admissions service Ricco had gone to Sunday - as saying that the racer had indicated he had effected a self-administered transfusion from a three-week-old sample at his home which he feared had gone off.
The Modena prosecutor has since opened an investigation and is now awaiting the results of tests at the hospital.
The Italian Olympic Committee (CONI) said it had also opened an investigation "on the basis of information which has appeared in the press."
