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Infrastructure department officials have revealed at a Senate inquiry into car park funding that the Australian National Audit Office asked for the department to access the minister’s records without informing him.

Under questioning from Labor’s Tim Ayres, the deputy secretary David Hallinan confirmed that mid-audit the department sought legal advice about the Anao’s powers, after a “request to access the minister’s records” with advice “not to inform the minister”.

Hallinan said the way the request came in “made us wonder whether it was appropriate” because he thought “natural justice” should apply and the person whose records were accessed should be informed.

Hallinan refused to say what the legal advice said – but Ayres observed that the fact the Anao report extensively discusses the canvassing process within then minister Alan Tudge’s office, it suggests access was granted.

Earlier, the first assistant secretary Philip Smith said the urban congestion fund was not a “competitive grants” process but that didn’t mean it wasn’t merit based.

Hallinan conceded it was “unusual” for the government to submit a list of projects to the department, rather than for the department to have a role in site selection.

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