Sammy Wong under investigation

Pansy Wong, former National MP, and husband Sammy Wong. Photo / Norrie Montomery

Sammy Wong, the husband of former Cabinet Minister Pansy Wong, is under investigation by the Auditor-General.

Fielding questions in Parliament this afternoon about Mr Wong's involvement with a Chinese rail company and the pending decision by KiwiRail over which company is to win a $500 million tender for new electric passenger trains for Auckland, Prime Minister John Key said: "I was informally advised that the Audit Office was going to have a look at Sammy Wong some time ago".

Labour MP Trevor Mallard then tabled a letter from his fellow Labour MP Pete Hodgson to Auditor-General Lyn Provost asking her to investigate Mr Wong, along with the Audit Office's response which he said confirmed the office was to proceed with an investigation.

Late last year Mr Hodgson called for the Auditor-General to investigate Mr Wong's use of taxpayer-funded travel perks after a previous Parliamentary Services investigation cleared him of any serious misuse.

Mrs Wong announced her resignation from Parliament in December after admitting her husband was involved in a business deal on a taxpayer-subsidised trip they made to China in 2008.

Around the same time, it emerged that Mr Wong had in the past conducted work for a New Zealand company associated with Chinese train maker LORIC Import & Export Corporation, a subsidiary of China CNR Corporation.

LORIC is one of the bidders for the KiwiRail contract.

KiwiRail says it has had no involvement with Mr Wong during the course of the tender process.

Tenders for the contract have now closed and KiwiRail said a decision would be made later this year.

Mr Key said the letting of the contract was an operational matter for the KiwiRail board.