Victoria Police has closed its investigation into Liberal MP Moira Deeming’s claim that Matthew Guy assaulted her at a community event, finding there was “no offence detected”.

Mr Guy vehemently denies the allegation and is considering legal advice to pursue defamation action against his party room colleague.

Video obtained by the ABC appeared to show Mr Guy placing his arm on Mrs Deeming’s back to speak with her at the crowded Macedonian community event in Sunshine on May 23.

Mrs Deeming alleged he had put her in a headlock. 

Moira Deeming and Matthew Guy

Moira Deeming and Matthew Guy both attended a community event in Melbourne’s west last month. (Facebook: Matthew Guy)

She first made the complaint to Opposition Leader Jess Wilson’s office before going to police on June 16.

Late on Thursday night, Victoria Police confirmed it had concluded its investigation.

“Following a thorough investigation, it has been determined there was no offence detected,” a spokeswoman said.

“Investigators have engaged with the woman who made the report.”

Victoria Police Chief Commissioner Mike Bush told 774 ABC Melbourne the investigators relied on the security footage to draw their conclusion.

“I think it’s safe to say it’s been explored, the investigation is complete, parties have been advised and we’re moving on,” he said.

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Speaking from Mildura this morning, Ms Wilson thanked Victoria Police for its prompt attention and said she was pleased that no offence has been detected.

“I understand that Matthew will be making a statement later this morning,” Ms Wilson told ABC Radio Mildura-Swan Hill.

“He’s obviously digesting what has occurred over the past few hours and his opportunity to respond will be this morning and following that I’ll be in a position to make further comment.”

Ms Wilson said she had contacted Mrs Deeming.

“I’ve reached out to Moira to seek a conversation with her when she returns from overseas but right now Matthew should have the opportunity to respond.”

A woman with chin length blonde hair in a dark jacket and white shirt sits behind a microphone with an ABC symbol on it.

Opposition Leader Jess Wilson says she’s pleased no criminal offence was detected by police. (ABC News)

Yesterday, Ms Wilson said it would be inappropriate to comment while police investigate.

“Like every other Victorian, the parties involved deserve due process, the presumption of innocence and their privacy respected while this is investigated,” she said.

“I remain focused on issues that matter to Victorians and earning their trust so our state can have a fresh start in November.

Victoria’s Attorney-General Sonya Kilkenny said it was “absolutely incumbent” on Ms Wilson to answer questions about the matter, including when she first became aware of the allegations, who she believes and whether she will refer the incident to the Parliamentary Integrity Commission.

“These are important matters still for Jess Wilson and her partyroom,” Ms Kilkenny said.

“It’s no good hiding in Mildura. Silence is not leadership.”

Ms Kilkenny said the incident has implications for the Liberal party.

“Her partyroom is in chaos. How can they possibly be trusted to govern and represent this great state?”

Fellow government frontbencher Nick Staikos said the Liberal party was in a shambles.

“Add to that the chaos of a One Nation coalition, these people have never been more unfit to be the government of Victoria,” he said.

“If they’re not suing each other, they’re reporting each other to the police now.”

A woman with grey hair pulled back in a ponytail in a red coat stands in front of two men, staring ahead.

Attorney-General Sonya Kilkenny is calling on Opposition Leader Jess Wilson to speak more openly about her handling of the matter. (ABC News)

The Coalition cancelled a planned press conference on Thursday, in what was to be day five of a “fresh start tour” of every electorate in the state.

The ABC understands Ms Wilson’s office sought advice and offered Mrs Deeming three options when she raised the issue.

Options canvassed were making it a criminal matter with Victoria Police, handling it as a workplace matter and having it assessed by the Parliamentary Workplace Standards Commission, or using internal party processes.

MPs were privately bemoaning that internal disputes again threaten to destabilise the party when the Coalition has a shot of forming government in just five months.

Moira Deeming and Matthew Guy

Both Moira Deeming and Matthew Guy have declined to comment on the allegation. (Facebook: Matthew Guy)

Mr Guy and Mrs Deeming have both declined to comment.

In a social media post on X (formerly Twitter) on Thursday, Mrs Deeming’s husband Andrew appeared to address the assault allegation.

“As a man — I would never grab a woman by the back of the neck,” the post said.

“As a manager — if a male staff member grabbed a female staff member by the neck, she wouldn’t need to tell me twice or even go to the police, because he’d be gone by the end of the day.”