Labor MP Sam Dastyari has resigned after having a $40,000 legal bill paid by a Chinese Communist Party-linked business.
Dastyari reportedly sent a bill incurred when exceeded his government paid travel entitlements to the Top Education Institute - a company that has strong links to the Chinese Government.
Mr Dreyfus noted there was still doubt over what Senator Dastyari actually said, despite the comments reported by Chinese media.
"The only reason they would have been given streamlined visa processing is they, along with 20 or so other education businesses in Australia, met the requirements that the public service decided were required", he told the Nine Network on Friday.
Senior government minister Christopher Pyne has lashed out at suggestions the company at the centre of the Sam Dastyari scandal received preferential treatment after donating to the Liberal Party.
"In many respects what we've seen is an evolution in political campaigning, where, particularly on the Labor side, the Labor party itself has become, in many respects, just a brand, and the real players in the election campaign have been trade unions and organisations like GetUp for example", Turnbull said Thursday.
'What is clear is that he backs Labor policy'.
"I made a mistake and I am paying the price for that mistake".
The Senator said no donors had asked for anything in exchange for the funds, but despite repeated questioning, he has not explained why he made a decision to ask Top Education to cover his bill.
Mr Shorten addressed the media again in Sydney after a speech at the McKell Institute and shared a similar sentiment towards the resignation of Dastyari.
"It's the measure of the man that he can stand up, admit he got it wrong and accept the consequences", Mr Shorten said in a statement.
"Sam is a young bloke with a bright future ahead of him".
But Labor is using the incident as a launch pad to push for reform, saying Senator Dastyari's actions were a mistake, but one made within the rules. "He has a lot more to offer Labor and Australia".
"I am prepared however to give him a second chance because I think he can make a contribution to this country", Mr Shorten said.
'I acted first and thought later.
"It was the wrong thing to have done", he said.
"It's not entirely clear", he told ABC radio today.
Treasurer Scott Morrison was quick to attack Mr Shorten's support of Mr Dastyari.
The Prime Minister has doubled down from the sidelines of the ASEAN summit in Laos, questioning the Labor Leader's judgement and integrity, while accusing him of being "terrified" of Senator Dastyari - a former NSW ALP General Secretary. He will remain in parliament. It remains unclear who will take over from Senator Dastyari as manager of opposition business in the Senate or as shadow minister for consumer affairs.