NSW Police are investigating a chatroom which was on the ninemsn website, known as 'rapeclub'.
The chatroom has been removed from the ninemsn website, and ninemsn was working with law enforcement authorities in their enquires, according to the website.
Martin Hoffman, CEO at ninemsn, said that once it had been alerted to the presence of the group it had "taken down its contents within the hour and are actively working with police on this matter".
The chatroom was being investigated by the State Crime Command Child Protection & Sex Crimes Squad Internet Unit, according to a statement from NSW Police.
Detective Inspector Vivienne Crawford, sex crimes investigations manager, said it had been working with ninemsn to identify the people involved in the chatroom.
“We need to ascertain whether a sexual assault has taken place and, if that is the case, then we will take the appropriate investigative action,” Crawford said.
According to the statement, NSW Police would forward information to relevant law enforcement agencies if it was found the chatroom was established outside NSW.