The premier's office says the auditor general has also been asked to review the government's dealings with Simplex, Capital Market Technologies and related companies.
Premier Wade MacLauchlan says the review will investigate the conduct of current and former elected officials and staff, and make recommendations for reform.
On Sunday, P.E.I.'s conflict of interest commissioner, Neil Robinson, announced he was stepping down because he felt he lost the confidence of the legislature following complaints from the Opposition Progressive Conservatives over his involvement in the online gambling file.
Tory Leader Rob Lantz said Robinson should have removed himself from discussions relating to e-gaming after he invested in a company linked to the e-gaming controversy.
MacLauchlan also announced Tuesday that John McQuaid, a retired justice of the Prince Edward Island Court of Appeal, has been appointed as acting conflict of interest commissioner.