An official of a sex industry consulting firm dashed hopes of embattled MP Craig Thomson for video footage of people who enter and leave brothels in New South Wales the past six years.

Mr Thomson said on Monday at Parliament that he has been informed that the brothels keep video tapes of customers. He said the asked Fair Work Australia (FWA) two years ago to secure copies of the tapes to prove that he didn't patronised such kinds of establishments.

A Fair Work Australia report charged Mr Thomson with misusing $500,000 of Health Services Union (HSU) funds when he was still its head, including allegedly spending the money on services of sex trade workers.

However, Chris Seage, who runs Brothel Busters, said brothels in Sydney follow only local council laws and as a result, only few would have CCTV or tapes of clients. He estimated only 5 per cent of the brothels have CCTV and of this number, very few would retain footage of customers for six years.

Even if Mr Thomson has explained his side before fellow MPs, Australian Prime Minister and Labor Party leader Julia Gillard said the embattled legislator would remain a crossbencher following his suspension from the party. She cited the dark cloud that hangs over the entire parliament because of the allegations against Mr Thomson as the reason for keeping the MP away at arm's length.

Opposition leader Tony Abbott described Mr Thomson's statement as ugly and implausible. He lamented that the government would not let MPs debate on Mr Thomson's statement.

Mr Abbott himself is under fire for refusing to strike down a Liberal senator who is accused of a homophobic attack on the staff of a New South Wales official.

Mr Abbott also denied any links with FWA Deputy President Michael Lawler who is the partner of HSU whistleblower, National Secretary Kathy Jackson. He admitted that he appointed Mr Lawler to the Australian Industrial Relations Commissions several years ago, but pointed out Mr Lawler is with FWA now, which is a Gillard creation.

Mr Thomson disclosed also on Monday that Ms Jackson owns a Volvo funded by the HSU and has traveled several times overseas paid by the union even if she allegedly did not visit any HSU units while abroad.