  Lying at a projected distance of 40' or 9 kpc from the centre of M31,
Andromeda IV is an enigmatic object first discovered during van den Bergh's
search for dwarf spheroidal companions to M31. Being bluer, more compact and
higher surface brightness than other known dwarf spheroidals, it has been
suggested that And IV is either a relatively old `star cloud' in the outer disk
of M31 or a background dwarf galaxy. We present deep HST WFPC2 observations of
And IV and the surrounding field which, along with ground-based long-slit
spectroscopy and Halpha imagery, are used to decipher the true nature of this
puzzling object. We find compelling evidence that And IV is a background galaxy
seen through the disk of M31. The moderate surface brightness (SB(V)~24), very
blue colour (V-I<~0.6), low current star formation rate (~0.001 solar mass/yr)
and low metallicity (~10% solar) reported here are consistent with And IV being
a small dwarf irregular galaxy, perhaps similar to Local Group dwarfs such as
IC 1613 and Sextans A. Although the distance to And IV is not tightly
constrained with the current dataset, various arguments suggest it lies in the
range 5<~D<~8 Mpc, placing it well outside the confines of the Local Group. It
may be associated with a loose group of galaxies, containing major members UGC
64, IC 1727 and NGC 784. We report an updated position and radial velocity for
And IV.
