The British attorney general is to investigate whether Northern Ireland Secretary Peter Hain or his senior officials deliberately misled the High Court in Belfast.
Last week Belfast High Court judge Mr Justice Girvan strongly criticised the way in which Bertha McDougall was named by Mr Hain as interim commissioner, saying he had breached acceptable standards.
The judge accused Mr Hain of "improper political motive" and of having "failed in his duty of candour" as well as trying "to divert attention from the true course of events".
Brenda Downes, the widow of plastic bullet victim Seán Downes, had challenged the manner of the appointment.
Mr Justice Girvan said the appointment of Mrs McDougall, the widow of a police officer murdered by the INLA, was politically motivated to help build unionist confidence in the political process.
He asked British attorney general Lord Goldsmith to open an investigation and listed 67 questions he needed to ask.
Mr Hain said: "I absolutely reject any suggestion that there was a deliberate attempt to mislead the court in relation to the appointment of Bertha McDougall as interim Victims' Commissioner.
"I would welcome any decision by the attorney general to hold an inquiry. It will receive our full co-operation."