NSW Labor MP 'no longer AFP suspect'

NSW Labor MP Noreen Hay says she is no longer a suspect of a federal police investigation into electoral fraud.

Ms Hay stepped down from her role as opposition whip last year after the AFP raided her Wollongong office following a referral from the Australian Electoral Commission.

"Ms Hay ha(s) received advice via her lawyer that she is not a suspect in relation to Australian Federal Police inquiries undertaken at her office in July 2015," a statement from her office said on Tuesday.

The Wollongong MP will resume her position as opposition whip on Tuesday, it said.

The AEC referred the allegations to the AFP on December 8 2014, two days after Ms Hay won a tight preselection battle for the seat of Wollongong.

The AFP would not confirm if its investigation into Ms Hay had ceased on Tuesday.

"As the matter is ongoing it would not be appropriate to comment further," an AFP spokeswoman told AAP.

It remains unclear whether the controversial MP was personally targeted.

Cabramatta MP Nick Lalich will meanwhile continue in his role as deputy opposition whip.