An inquiry into whether former Labor MP Craig Thomson misled parliament has been suspended because of legal proceedings against him.

Labor MP Nicola Roxon on Thursday told parliament the privileges committee was putting a halt to its investigation, saying the charges against Thomson raised sub-judice issues.

The now independent federal MP is charged with 154 counts of fraud, allegedly committed while he was national secretary of the Health Services Union.

Thomson was referred to the committee by manager of opposition business Christopher Pyne after the Central Coast MP's teary address to parliament in May last year.

Ms Roxon, chair of the privileges committee, said its inquiry would be suspended until the charges against Thomson were resolved.

"Since the referral the committee has been progressing the inquiry, although its work is not yet complete," she told parliament.

"The committee considers that the laying of criminal charges raises significant issues in terms of the operation of the sub-judice convention."

The committee had therefore decided to suspend its inquiry.

"The inquiry remains live and at the conclusion of judicial proceedings the committee will consider how it will proceed with the inquiry," Ms Roxon said.

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