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Whether or not there's a rule against it, it's a difficult one to argue that he was busy representing his constituents interests whilst working in the House.
He'll have to go I'd have thought. If they try to style it out, they run the risk of the nature of the evidence being leaked. If they insist it's a fix up, are they really going to accuse the Police of planting evidence in the HoP?
In a lot of workplaces downloading/watching p0rn = instant dismissal.
Now if it's not part of the Parliament workplace rules they can't really fire him over it, and while I find it rather sleazy to do that at work, you could argue there's no case to answer then.
Bar "why the heck is this acceptable in parliament" and "do you people not have ultra strict logging/firewall rules in place, cos it's not that security has to be ultra high". But hei ho.