A close confidante of Ms Holgate, who declined to speak on the record, said Ms Hanson’s understanding of the events were not accurate.

“Christine tendered her resignation. She does not consider herself employed by Australia Post. She could not work with that board again,” the source said.

Senator Hanson said the inquiry was a “giant step toward achieving some justice for Christine Holgate”.

“You don’t get to falsely and savagely trash the career of one of the nation’s most successful business leaders for no reason and then get away with it,” Senator Hanson said in a statement after the motion passed on the voices.

Her motion, backed by Labor, requires the committee to report by April 30 on a number of issues, including the “actions of the board … following Ms Holgate’s offer of resignation” and the current status of her employment at Australia Post.

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In a statement, a spokesman for Communications Minister Paul Fletcher said Ms Holgate “made the personal decision to resign from Australia Post with immediate effect on 2 November 2020”.

Australia Post has been contacted for comment.

Prime Minister Scott Morrison last year told Parliament he was “appalled and shocked” by the watch purchases, which were revealed during Ms Holgate’s evidence to a Senate estimates hearing.

The government ordered an investigation, led by the Finance and Communications departments and assisted by Maddocks law firm, which cleared Ms Holgate of “dishonesty, fraud, corruption or intentional misuse” of taxpayer funds.

But it concluded the purchase of the watches was “inconsistent” with the obligation imposed by legislation on the Australia Post board relating to the proper use and management of public resources.

The Senate inquiry will explore how the $20,000 spend on watches compares with the bonuses and gift-giving culture in other government-owned corporations such as NBN Co. Employees at NBN Co shared in $78 million in personal bonuses last year despite the worst economic downturn since the Great Depression.

The inquiry will also examine broader issues relating to Australia Post’s service delivery, including the temporary move to “every-second-day” letter deliveries in metro areas during the pandemic.

The Cartier watches were part of a broader string of revelations that fuelled a perception of largesse inside Australia Post under Ms Holgate’s leadership. These included Ms Holgate’s $300,000 spend on corporate credit cards and chauffeur-driven cars in the 2019-20 financial year and her decision to pay a reputation management firm $119,000 for just 38 days’ work for the organisation between June and July.

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She also came under scrutiny for intervening on Senator Hanson’s behalf when the City of Melbourne refused to deliver One Nation stubby holders to locked down public housing tower residents.

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