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Posted: 2016-03-29 00:28:03
Prime Minister Malcolm Turnbull has declared Arthur Sinodinos (pic) an important member of cabinet.

Two ministers embroiled in donations saga

There are calls for two federal government ministers to answer questions about their role in the NSW Liberal Party political donations controversy or stand aside.

The NSW Electoral Commission is refusing to pay the Liberals more than $4.4 million until it reveals the secret donors who poured about $700,000 into the party's coffers ahead of the 2011 state election.

Cabinet secretary Arthur Sinodinos was the party's treasurer and finance director at the time.

Prime Minister Turnbull insists Senator Sinodinos has provided a detailed response to the matters.

"Arthur Sinodinos is a very important member of the cabinet," Mr Turnbull told reporters in Sydney on Tuesday.

Senator Sinodinos' lawyers have sought from the commission a retraction of parts of its summary of facts which the senator says used "loose language which could convey erroneous impressions".

Meanwhile, Angus Taylor became the second federal government frontbencher to become tangled up in the controversy.

Fairfax Media claims the cities minister was a member of the party's finance committee when he discussed using the controversial Free Enterprise Foundation to channel prohibited donations.

"Full compliance and disclosure is the standard I adhere to and will always adhere to," Mr Taylor said in a statement, adding that the media report had left out other key facts.

Labor frontbencher Brendan O'Connor said the matters have not been fully resolved by the NSW anti-corruption watchdog.

"These are very serious questions of these two ministers but also a very serious question of character and judgment of Malcolm Turnbull," Mr O'Connor told reporters in Melbourne.

He said the duo must answer questions candidly or if they refuse, Mr Turnbull must stand them down.

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