One of Barry O'Farrell's closest advisers has been stood aside without pay today following revelations he kept the Premier in the dark over crucial details of The Star casino sexual harassment allegations.

Premier O'Farrell said he was launching an investigation by the The Director General of the Department of Premier and Cabinet to see if Mr Grimshaw had breached the code of conduct for ministerial staff.

The Premier said Mr Grimshaw then offered to remain stood aside until after the conclusion of the Independent Liquor and Gaming Enquiry into the scandal.

Mr O'Farrell said he was disappointed by revelations that Mr Grimshaw had forwarded texts from Gaming Minister George Souris to his girlfriend.

The Premier said he would also inform cabinet this afternoon that ministers and staff should inform him about all matters relevant to government at all times in the wake of revelations in The Daily Telegraph today.

His comments come after leaked text messages between Gaming Minister George Souris and the Premier's communications director Peter Grimshaw reveal Mr Souris hid the fact that the victim of the alleged harassment - which led to the sacking of The Star boss Sid Vaikunta - was actually Mr Grimshaw's girlfriend.

The text, which Mr Souris sent to Mr Grimshaw on February 2 and which was forwarded to his girlfriend, known as Miss M, said: "Don't worry. I've told Barry about Sid but not mentioned (Miss M). And (Miss M's) name is not in the matter in my office - not with Matt, Frank or Norm.

"I know exactly how she feels. Don't worry, you've been a friend for years and were supportive of me last year and you will never lose my loyalty. G."

The text was sent on the day that Mr Vaikunta was sacked - 13 days before Mr O'Farrell said he first learnt Mr Grimshaw's partner was involved.

The opposition called for Mr Souris to be stood down last night as allegations continue that Mr Grimshaw and Mr Souris's media adviser Norm Lipson orchestrated a campaign against the casino, Mr Grimshaw's former employer.

"Peter Grimshaw, Norm Lipson and Minister Souris should be stood down immediately," Opposition Leader John Robertson said. "The implicit message in this text from Minister Souris to Peter Grimshaw is 'you scratch my back, I'll scratch yours'. This is not the code on which any government should be allowed to operate.

"In refusing to stand down Peter Grimshaw and Minister Souris, the Premier has sent a message to his staff and his cabinet that it is OK to lie and withhold information."

Mr O'Farrell vowed despite the new revelations to take no action, saying the matter was the subject of two inquiries.

But Mr O'Farrell is refusing to deny Mr Grimshaw was behind a damaging set of leaks about the casino.

New evidence in text messages and emails reveals Mr Grimshaw was involved in a covert campaign to attempt to rid the casino's owners of their licence which ran in The Sun-Herald newspaper.

One damaging text message was sent from Mr Grimshaw to Miss M two days after she was allegedly harassed by Mr Vaikunta. The text was received the day before The Sun-Herald ran a report headlined: "Casino buses in migrants who live beyond their means."

The text forwards an SMS from journalist Heath Aston on December 10 which said: "From Heath. (Casino spokesman Brad) Schmitt pointedly told me that I was probably getting my leaks from a disgruntled ex-employee. I told him he hadn't got a clue. This yarn will sting."

The opposition also claimed that Mr Grimshaw had failed the ministerial staff code of conduct by not declaring in writing a conflict of interest to Mr O'Farrell or his chief of staff, after he gave evidence to the Furness inquiry into the casino.

Minister George Souris Was Holding Out On Barry O'Farrell Over The Star Casino Case

has anyone seen James Packer or Graham Frederick Richardson lately .....?