SALEM, Ore. — State Rep. Dan Doyle resigned from the Legislature yesterday, but his departure doesn't end a state inquiry into whether he committed crimes in his handling of campaign finances.

"Our review will continue regardless of his resignation," said Kevin Neely, spokesman for Oregon Attorney General Hardy Myers.

The Salem Republican's resignation came one week after state officials began investigating whether he diverted campaign money to personal use and falsified his campaign-finance report.

House GOP leaders hoped that Doyle's departure would help bring to a close an embarrassing chapter that has marred the opening of the 2005 legislative session.

"It will remove this issue from the Legislature," said House Speaker Karen Minnis, R-Wood Village. "It was a distraction."

However, Minnis found herself being asked by reporters yesterday why she had named Doyle co-chairman of the Legislature's budget panel despite earlier problems with his finances.

Meanwhile, advocates for campaign-finance reform were hoping the controversy would focus attention on their efforts to overhaul laws to require more regular reporting of campaign expenditures and contributions.

"It will elevate the issue in the minds of the average voter," said Andi Miller, executive director of Oregon Common Cause.

Doyle had been the champion of the fiscally conservative, no-new-taxes wing of the House GOP caucus. Until last week, he had been the co-chairman of the Joint Ways and Means Committee.

But Doyle, a 47-year-old lawyer who had served in the Legislature since 2001, stepped down from that post Wednesday amid the probe into his campaign spending for the November election. He was replaced by House Majority Leader Wayne Scott, R-Canby.

Interviews with vendors to whom Doyle reported paying campaign funds indicated that he had overstated campaign spending by about $60,000.

The secretary of state is investigating whether Doyle diverted that money to personal use, which is a civil offense carrying a maximum $75 fine for first offenses.

Making intentional false statements on the campaign-finance reports, which Doyle signed as campaign treasurer, would be a criminal violation.

On Friday, state election officials asked the Attorney General's Office to decide whether a criminal probe is warranted in view of the allegations against Doyle.

Minnis, in a news conference after Doyle's resignation was announced, defended her decision to make Doyle co-chairman of Ways and Means despite earlier questions about his personal finances.

In June, Doyle's license to practice law was suspended for 30 days after the Oregon State Bar concluded that for a time he had failed to return money and pursue claims of one of his clients.

Earlier, it was reported that three liens were placed on Doyle's home, including one filed by the Internal Revenue Service when Doyle failed to pay $32,366 in federal income taxes for 1995 and 1996.

Minnis said she had discussed Doyle's past problems with him and that she was satisfied he had put those issues behind him.

"Dan had the qualifications and the experience" to lead the budget committee, the House speaker said.

The top Democrat in the House, Rep. Jeff Merkley, said he couldn't judge whether Doyle had violated the law but said "clearly something has gone awry."

"I appreciate that he has taken the step to get us back on track in a process to fill the seat," the Portland lawmaker said.

Doyle, who has denied diverting campaign money to personal use, tendered his resignation in a one-sentence letter to Secretary of State Bill Bradbury.

"By this letter, I resign my office as representative of House District 19, effectively immediately," the letter said.

To fill Doyle's House seat, local GOP precinct-committee members will meet to forward a list of three to five candidates to the Marion County Commission, which will choose one of them to serve the remainder of Doyle's term.

By law, the replacement must be named within 30 days.