The political saga between former Victorian Liberal leader John Pesutto and first term MP Moira Deeming is continuing on with Pesutto at risk of having to be declared bankrupt over his inability to pay the court order legal costs stemming from Deeming’s successful defamation case.
Pesutto was unable to make the deadline for the multi-million dollar payment last week, with reports he’s only managed to raise about a third of the funds required.
If declared bankrupt he would be ineligible to sit in parliament, forcing a by-election for his inner Melbourne seat of Hawthorn. Many political analysts believe the Liberals would lost the seat if it goes to a by-election, a terrible outcome for the party.
A Victoria Court has ordered Pesutto to pay 2.3million in legal expenses to colleague Moira Deeming.
Earlier this year the court found that Pesutto had defamed Deeming in a series of media interviews and press conferences that followed her appearance at the 2023 Let Women Speak rally outside the Victorian Parliament.
Pesutto was also ordered to pay damages of $300,000, and he’ll also have his own legal bills expected to be of a similar amount to those put forward by Deeming’s team.
The rally was organised by British provocateur Kellie-Jay Keen and toured around Australia, drawing large protests at each stop around the nation. At the Melbourne event a group of neo-Nazi’s gatecrashed the event and stood adjacent to the Let Women Speak event, antagonising the protesters.
In the days that followed Deeming’s Liberal party colleagues banished her from the party room at Pesutto’s urging. The court later found that his comments in the lead up to that action had been defamatory.
After the court handed down its result Deeming was readmitted to the Liberal party and Pesutto stood down from his leadership position. Under new leader Brad Battin Deeming has been promoted to the special role of “representative of the western suburbs.”
A GoFundMe campaign for the politician has raised over $200,000 for the politician, and negotiations have been going on with high profile donors, and party officials to see if the bankruptcy moves can be avoided.
Lawyers for Deeming have also indicated they’re preparing to chase former premiers and Liberal MPs who sided with Pesutto during the dispute for the outstanding costs. Deeming’s lawyer, Patrick George from Giles/George, has warned that his firm is preparing to chase former premiers Ted Baillieu, Jeff Kennett and Denis Napthine for the remaining costs. The confidential legal letters were leaked to the media.
Deeming’s team have also sent legal letters to the party’s state president Philip Davis chastising him for not publicly rebuking John Pesutto over his defamation of her and accusing the division of enabling the former leader to raise funds “under the name of the Liberal Party”. according to The Australian Financial Review.
Moira Deeming declined to comment to the newspaper, but gave a lengthy statement to the Herald Sun indicating she would initiate bankruptcy proceedings against the former party leader, noting that she had a commitment to pay back the people who backed her legal action.
