The Australian Federal Police has concluded Human Services Minister Alan Tudge did not break the law by releasing the personal information of a Centrelink client to the media.
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Labor frontbencher Linda Burney referred Mr Tudge to police in March over allegations he broke social security laws by releasing information about writer Andie Fox, after she wrote an article about her personal difficulties with Centrelink.
Mr Tudge's office asked the Department of Human Services for information on Ms Fox's situation after an inquiry from The Canberra Times. The office then provided The Canberra Times with personal information.
In March, Mr Tudge said the information was released to journalists, including at Fairfax Media, to correct "false assertions" about the growing controversy related to debt recovery efforts and data matching from agencies including the Tax Office.
Ms Burney said she believed Mr Tudge's actions to be "immoral at best" and "illegal at worst."
On Monday, an AFP spokeswoman confirmed the case would not be further investigated.
"The AFP has conducted an evaluation into this matter and concluded that there was no breach of Commonwealth legislation.
"The AFP will not be making further comment in respect of the matter," the spokeswoman said.
Mr Tudge said in a statement he had received a letter advising him the protected information distributed by his office had been approved for release "and was therefore not an unauthorised disclosure."
"The decision to end the consideration of this referral is no surprise," Mr Tudge said.
"Social security law and family assistance law allow for the release of limited information to respond to incorrect or misleading information in the media about specific cases, in order to maintain public confidence in the integrity of government programmes."
He said the government took privacy very seriously and had complied with relevant laws.
"Labor's referral was always a political stunt and part of its Centrelink scare campaign. While the Coalition is increasing resources to the AFP, the Labor Party is wasting them," he said.
Last month a parliamentary inquiry heard Centrelink had recalled outstanding robo-debts from external agencies in February, the same time as senior government ministers were defending the automated processes.
Mr Tudge has consistently maintained Centrelink's systems have worked effectively since the controversy began, with the government prepared only to make minor of changes despite thousands of complaints and an investigation by the Commonwealth Ombudsman.
In a statement posted on social media, Ms Burney said she would await further reviews of the robo-debt system.
"Illegal? maybe not. Highly unethical and immoral? Definitely. Let's wait and see what the Info Comissioner says," she posted on Monday.
