The Morrison government has refused to provide the reasons why it is using a taxpayer-funded top lawyer to defend it in an internal Liberal Party dispute.
A bid on Thursday for the High Court to urgently hear an appeal by the NSW division of the Liberals against federal intervention triggered by Scott Morrison involved the solicitor-general Stephen Donaghue on behalf of the prime minister.
The case was remitted to the NSW Court of Appeal.
In Question Time on Thursday, shadow attorney-general Mark Dreyfus asked the prime minister why Australians are paying for Dr Donaghue - the Commonwealth's most senior lawyer - to intervene in an internal Liberal Party dispute.
Communications Minister Paul Fletcher, who represents the attorney-general in the lower house, admitted the party's use of the solicitor-general in the matter but said there were "established protocols" where Commonwealth representation occurs.
"These decisions have been taken in accordance with those protocols," he told parliament.
Meanwhile, Finance Minister Simon Birmingham denied any knowledge of the solicitor-general representing the prime minister, telling a Senate estimates committee "the news story you're speaking of is, in and of itself, news to me".
"I had certainly no prior knowledge of the story ... that is relevant to or related to the solicitor-general," he said.
"I don't think I had any prior knowledge of it being before the High Court today, although I was aware ... that there were legal actions occurring."
Senior government officials also said they knew nothing of the legal action before being made aware of it during the committee hearing.