A senior Victorian Education Department official, who tore up school records in a panicked fit of rage when he realised the corruption watchdog was sniffing around, has been sacked.

Regional director for the state’s southeast John Allman was axed hours after admitting to dumping the torn documents from “banker” school Silverton Primary School in a Bunnings bin last year.

“I did that in a fit of rage, upset and trauma after the IBAC visit to my home,” he told the Independent Broad-Based Anti-corruption Commission on Wednesday.

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Mr Allman is the second scalp claimed by IBAC’s inquiry after the sacking of education department chief Nino Napoli, announced on Monday, a former financial management general manager who also allegedly scrambled to hide what he had done.

Mr Napoli’s son Raffaele told the hearing on Wednesday his father asked him to lie about $75,000 that had trickled into his bank account as “wages” from his aunt’s business from 2007 to 2011.

IBAC is looking at claims 17 companies linked to Mr Napoli and nine of his relatives received more than $2.5 million from Victorian schools between 2007 and 2014.

The investigation has heard some senior staff organised for bills for parties, wine and other items to be sent to the “banker” schools.

The so-called banker schools would pay invoices for items they did not receive.

Mr Allman, who said the banker school concept was never legitimate, confirmed Mr Napoli transferred money at his request – hundreds of thousands of dollars over time – from central department funds to Silverton Primary School in an attempt to hide it from “government processes”.

He denied using it for personal gain, stating the money was used for school or department-related projects or functions.

The hearing continues.

– AAP