Former Victorian treasurer John Lenders.

Former Victorian treasurer John Lenders.Credit:Josh Robenstone

Mr Andrews said he could not remember if he met with the campaign field organisers as they were being trained in March 2014,or whether the funding arrangements for the"red shirts"were discussed by the campaign committee.

"I'd have to check my diary,"Mr Andrews said in relation to the meeting.

"In the course of a campaign you meet with lots of different people."

Ms Glass found that while the MPs who signed the timesheets derived little personal benefit they"almost invariably benefited the election prospects of other members or candidates".

She said she accepted that the MPs who funded the scheme believed it was legitimate and did so in good faith.

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“Regardless of their intentions,however,they were wrong,and their actions breached the members’ guide,” she said.

Special Minister of State Gavin Jennings,who was found to have diverted $20,539 in funds,said he signed the timesheets on a weekly or fortnightly basis for a worker that he deemed was carrying out a normal part of electorate officer work.

He said he would not resign and reforms had already been introduced.

The estimated $387,842 included an"unquantified amount"of electorate officer work that was legitimately done for a small number of MPs.

Whistleblowers claimed hundreds of thousands of taxpayer dollars were used to pay for Labor campaigners called the"red shirts".

Whistleblowers claimed hundreds of thousands of taxpayer dollars were used to pay for Labor campaigners called the "red shirts".Credit:Scott Barbour

The Victorian government went all the way to the High Court and spent $1 million in an attempt to stop the investigation.

Mr Jennings wrote to Ms Glass to say her office didn't have the power to investigate,so the matter went to the Supreme Court,which gave the ombudsman the go-ahead. The government tried,and failed,to fight the ruling in the Court of Appeal and High Court.

On Wednesday morning,"red shirts"whistleblower Jake Finnigan told radio station 3AW he had lost friends,been"institutionalised"and forfeited a career in politics after raising concerns about how he was being paid while working in Police Minister Lisa Neville's office.

"I was ostensibly campaigning for the Labor party on a full-time basis while being paid two times a week by the Parliament,"he said.

"I wasn't doing any electoral office work. I was based out of Police Minister Lisa Neville's office ... but I was being paid by John Eren's electorate office in Lara.

"I certainly did fill out my timesheets in advance."

Mr Finnigan said he hoped the Ombudsman's report would be"for the greater good of this state".

"I feel this is important,because it finally sets out what politicians can and can't do with taxpayers money and taxpayers resources,"he said.

Ms Glass said more needed to be done to rebuild public trust in politicians,which was eroded by stories of misuse of taxpayers’ money.

“Trust in our politicians is declining and diminishes further with allegations of misuse of public funds,” she said.

“The public debate in this case confirms the importance of an independent body able to investigate allegations without fear or favour,when the integrity of MPs is called into question.”

The MPs named in the report who are now frontbench ministers include:

Other serving MPs in the report include:

MPs named in the report who are no longer serving include:

with AAP

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