READ THE GOVERNMENT'S RESPONSE

CHILD Protection workers "condoned" cannabis use and overlooked amphetamine use in the home of the 12-year-old girl prostituted to more than 100 men last year.

A damning report from Children's Commissioner Paul Mason found "systemic failure" in Child Protection Services had let the girl down.

The report also found:

The department recommended the girl be removed from state care in a meeting on September 10 - the same day her mother and pimp Gary Devine started to let men pay for sex with her in a hotel room.

Police knew about Devine's history with teenage girls but took no steps to intervene or warn Child Protection Services.

The girl and her older sister had, in different senses, "the worst outcome" from their involvement in state care.

"Closing the file" had been more important than the best interests of the child.

Mr Mason also said the department's internal review of the matter recommended staff work harder in their current practices and get more training about how to do their jobs.

Children's Minister Lin Thorp acknowledged the system had failed the girl.

She also said to prevent similar cases all Tasmanians would need to be prepared to contact authorities if they saw something wrong.

Ms Thorp said Mr Mason's recommendations - including managing the incomes of at- risk families and banning all prostitution - would be examined.

However, she rejected his call for more power to be given to the Commissioner for Children's position.

Only 14 pages of Mr Mason's 61-page report were released, with the missing pages removed due to privacy reasons.

The girl had sex with more than 100 men last year after being advertised in a newspaper as "Angela, 18, new in town".

Devine and the girl's mother are both serving 10 years in jail.

Last night police confirmed they were investigating whether Devine had fathered a child with the 15-year-old older sister.