The Ontario Progressive Conservatives are demanding the province's auditor general conduct a special investigation into a social housing organization after a number of questionable expenses were flagged.

The Housing Services Corporation, a non-profit group that provides a number of services to social-housing operators, is under fire for a number of spending and other expenses.

One of them involves the group’s former CEO, Lindsey Reed, who resigned in April 2013 after approximately 7 years as CEO, and was paid approximately $262,000 in severance, unused vacation and for four months salary for that year.

The group's financial records are now under scrutiny. CTV Toronto reported Monday that the Ontario government has asked an independent third-party reviewer to examine HSC's financial records.

But the Ontario Tories say more needs to be done.

"The waiting list for affordable housing increased by almost 40,000 since you were elected; we can’t afford money being siphoned off out of the affordable housing envelope," Ontario PC MPP Ernie Hardeman said Tuesday at Queen's Park.

According to HSC's website, the group does not receive regular funding from the province, or levy municipalities for their services, which includes buying natural gas and insurance in bulk to help lower social-housing costs. The group does, however, receive funding by charging municipalities service fees.

Ontario Premier Kathleen Wynne says her government is open to introducing even tougher rules for organizations such as HSC.

"We put legislation in place to tighten those accountability measures on this organization … I’m perfectly open, as is the minister, to further tightening those accountability rules," Wynne told reporters Tuesday.

Other expenses that have been flagged include those linked to HSC's current CEO Howie Wong. He is taking heat for travel-related costs, including expensive meals, alcohol and a $3,000 trip to Australia.

Wong says he has since repaid HSC for those expenses. He says although they were approved, new rules need to be introduced surrounding future costs.

"I've repaid a fair bit of those expenses because I really want to make sure that these are not distractions from the important business that we do," he said.

With a report from CTV Toronto's Paul Bliss