The Queensland Liberal National Party has expelled federal MP Michael Johnson.
Party vice-president Gary Spence said the party had accountability and standards and would continue to uphold them.
"Today's decision will be a reflection of our integrity and accountability that our 13,000 members and supporters in Queensland have demanded we uphold," he said.
Mr Spence said the LNP would preselect a new candidate for Ryan.
''We will fight very hard for the seat of Ryan. I think the voters of Ryan are looking for integrity and honesty in their candidate,'' he said.
He said he did not think it would be damaging for the party's federal election chances.
''I think the people of Queensland and people of Ryan will see we have taken a stand - we are lifting the standard of politics in Queensland.''
He said the decision had been made under the ''disciplinary measures'' in the party's constitution.
Mr Spence said Mr Johnson was not told of the decision - which was unanimous among the 16 members of the executive - before he left the meeting.
He said the decision was communicated to the MP through his solicitor on Thursday afternoon.
''I have no pleasure in doing this, nor does the state executive,'' he said.
''We would rather not have to do it. ... but we will continue to lift the standards of the party.''
Mr Spence said there were no further investigations under way, but if other information came to hand it would be investigated.
Federal frontbencher Ian Macfarlane told reporters it would not impact on Tony Abbott's election chances.
''This isn't embarrassing for Tony,'' he said.
The final resolution related to two complaints, Mr Spence said.
The first was that ''the member has made use of his position as the member for Ryan in order to further his personal business interests in that during the period September 11, 2008, to October 2008 the member made use of his status as a member of the Australian parliament and made use of his parliamentary email facility for the purpose of promoting a transaction between certain business interests from which the member sought to earn substantial commissions''.
The second charge was that ''the member has permitted members of his electorate office staff to attend to the business of the Australia-China Development Association Ltd, an organisation whose income has been applied substantially for the purpose of funding the member's travel and associated accommodation expenses''.
Mr Spence said the executive had upheld the charges of conduct bringing the party into disrepute and engaging in conduct severely harmful to the best interest of the party.
Queensland LNP state director Michael O'Dwyer said Mr Johnson had brought the LNP into disrepute.
''Mr Johnson has engaged in conduct which was harmful to the party,'' he said.
He said Mr Johnson's expulsion would send a clear message the other members of the party.
''The LNP is setting standards … we are raising the bar,'' he said.
''I am looking forward to opening nominations for the seat of Ryan tomorrow.''
