Labor frontbencher Jason Clare and embattled Labor MP Emma Husar have both denied a report that she behaved inappropriately towards him in his parliamentary office.

Husar, the federal member for the seat of Lindsay in western Sydney, is being investigated over allegations of harassment and bullying in her staff office.

In a letter dated 16 May, the barrister John Joseph Whelan put a number of allegations to Husar for response, including alleged misuse of funds and entitlements, misuse of staff, workplace bullying, intimidation, verbal abuse, spreading false rumours, and sexual harassment.

Clare told Guardian Australia the allegations that Husar behaved inappropriately towards him were “categorically untrue”.

Allegations reported by Buzzfeed on Thursday include that money raised by New South Wales Labor was paid into Husar’s personal bank account and that she sexually harassed a former staff member on two occasions.

Husar responded to the allegations on Twitter, labelling them “100 per cent false”, “completely and utterly untrue, unfair and hurtful beyond belief”.

I have done my best to cooperate with the investigation and clear my name, but it’s clear these people will stop at nothing to destroy me. — Emma Husar MP (@emmahusarmp) August 2, 2018

A spokesman for Bill Shorten said he “has not seen the letter referred to in today’s Buzzfeed article, nor was he aware of its existence before today”.

“NSW ALP informed the opposition leader of the independent investigation on 18 July, following a media enquiry.”



The existence of the Whelan investigation – commissioned by NSW Labor – was first revealed on 20 July, when Husar said she was “horrified” to learn she had been accused of bullying staff and misusing her taxpayer-funded staff for nannying and household duties.

Husar has also denied misusing travel entitlements after several reports in the Australian questioned whether parliamentary work justified trips billed to the taxpayer.

On 24 July, Husar took personal leave but said she hoped to return to work “very soon” after seeking support.

While senior Labor members have publicly continued to support Husar, privately conversations have moved into how to handle the situation, given the sheer number of damaging allegations against the MP.



“She is going to have to go, that is where we are at,” a senior member of the Labor right faction told Guardian Australia.

“Some of it could have been waited out, but I think we have passed that now.

“But we can’t afford another byelection being set up as a test of Bill’s leadership, let alone spending hundreds of thousands of dollars on one seat again, so I think it’s leading to her not contesting the next election and sitting on the backbench.”

Consensus within the party is the leaks of allegations were coming from the inside, with most pointing to a sub-faction of the NSW right, who they claimed were “working to push her out”.