A News Corp investigation into the $75 million Westpac money laundering scandal, linked to child exploitation that was revealed by AUSTRAC last year, claims the watchdog's CEO Nicole Rose bungled and sat on vital evidence.

Asked on ABC television's Insiders program whether AUSTRAC sat on evidence, Mr Dutton who has responsibility for the independent agency said: "No, it didn't."

"And this hatchet job on Nicole Rose should be seen for what it is," he said.

"Nicole has taken AUSTRAC to an unprecedented level of success not only with the banks, but many of the criminal syndicates that they're now working on with the ACIC (Australian Criminal Intelligence Commission) and the Australian Federal Police and their state counterparts as well."

But Labor's home affairs spokeswoman Kristina Keneally believes there are serious questions to be answered about AUSTRAC's protocols and processes when it becomes aware of suspected child abuse.

"These are serious matters that Labor will pursue, and enquire about at the upcoming Senate estimates this week," she told reporters in Sydney.

"I am concerned that it seems to demonstrate the minister Peter Dutton is not across all aspects of his portfolio in matters as serious of these."

Australian Associated Press