Labor Party demanding PM to sack assistant treasurer and housing minister Michael Sukkar.

The federal opposition is demanding Prime Minister Scott Morrison sack assistant treasurer and housing minister Michael Sukkar.

Liberal member for Deakin Michael Sukkar and Prime Minister Scott Morrison visit the landscaping business of Daisy's at Ringwood in Melbourne. Source: AAP

It's been alleged by the Nine Network that an ultra-conservative faction of the Victorian branch of the Liberal party tried to recruit new members by targeting community and religious groups, and did this by using electorate officers on the public payroll, including staffers in the offices of Mr Sukkar and former defence minister Kevin Andrews.

Both men deny wrongdoing, and say they've referred such allegations to the Department of Finance for review.