Labor factional powerbroker Sam Dastyari is facing ongoing scrutiny over his close connections to Chinese-Australian interests, with Prime Minister Malcolm Turnbull questioning whether donations led to the NSW senator contradicting his party's policy in a "cash for comment" arrangement.

Concerns have also broadened to the issue of political donations and the increasing role of China-linked money in Australia as leaders on both sides discuss reforming the system with restrictions or increased transparency.

The Prime Minister said Senator Dastyari's "extraordinary" behaviour was "completely different" to regular political donations in that he held a personal debt to to the government after exceeding travel entitlements.

"And what did he do? Did he put his hand in his pocket like anyone else would do and pay the bill? No. But he used his influence as a senator to get that $1600 from a Chinese donor," Mr Turnbull told 3AW.