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Judge slams 'half baked' legal fight after Liberal loan
Judge slams 'half baked' legal fight after Liberal loan

The Advertiser

time26-06-2025

  • Business
  • The Advertiser

Judge slams 'half baked' legal fight after Liberal loan

A judge has hit out at a "half-baked" legal attempt to stop a $1.55 million Liberal loan to save the political future of its former leader. The legal challenge came after the Victorian Liberals' administrative committee decided to lend former leader John Pesutto money to settle his outstanding defamation debt to MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. He coughed up $315,000 in damages and raised about $750,000 through wealthy backers and a GoFundMe campaign, with the remaining $1.55 million leaving him facing bankruptcy. Legal documents filed with the Supreme Court on Thursday sought to block the loan on the grounds it potentially breaches party rules, naming party entity Vapold as a defendant. It was brought by Colleen Harkin, named in the documents as a member of the administrative committee. During a late afternoon hearing, Justice Michael McDonald said each member of the committee should have been named as defendants. "You have come to this court half-baked, you have failed to name the proper defendants," he told barrister Cam Truong KC, acting on behalf of Ms Harkin. "It doesn't get much worse." Justice McDonald said the $1.55 million loan had already been transferred to Mrs Deeming's lawyers and questioned why lawyers had triggered an out-of-hours court hearing. He told the court he could not see "any urgency in this matter" and the case was adjourned to July 4. "The application doesn't get off the runway today," Justice McDonald told the court. Mr Truong did not accept the case was brought improperly as he said the case was filed before the money was transferred. He asked for at least a week to serve all committee members who are now set to be included in the challenge. Daryl Williams KC, who represented three of the named defendants, questioned the timing of the case during the hearing. "Why on earth are we here today when this decision of the admin committee, which by the way my clients had nothing to do with, was made a week ago," he said. If Mr Pesutto is declared bankrupt it would trigger his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn. The payment deadline is Friday. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A judge has hit out at a "half-baked" legal attempt to stop a $1.55 million Liberal loan to save the political future of its former leader. The legal challenge came after the Victorian Liberals' administrative committee decided to lend former leader John Pesutto money to settle his outstanding defamation debt to MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. He coughed up $315,000 in damages and raised about $750,000 through wealthy backers and a GoFundMe campaign, with the remaining $1.55 million leaving him facing bankruptcy. Legal documents filed with the Supreme Court on Thursday sought to block the loan on the grounds it potentially breaches party rules, naming party entity Vapold as a defendant. It was brought by Colleen Harkin, named in the documents as a member of the administrative committee. During a late afternoon hearing, Justice Michael McDonald said each member of the committee should have been named as defendants. "You have come to this court half-baked, you have failed to name the proper defendants," he told barrister Cam Truong KC, acting on behalf of Ms Harkin. "It doesn't get much worse." Justice McDonald said the $1.55 million loan had already been transferred to Mrs Deeming's lawyers and questioned why lawyers had triggered an out-of-hours court hearing. He told the court he could not see "any urgency in this matter" and the case was adjourned to July 4. "The application doesn't get off the runway today," Justice McDonald told the court. Mr Truong did not accept the case was brought improperly as he said the case was filed before the money was transferred. He asked for at least a week to serve all committee members who are now set to be included in the challenge. Daryl Williams KC, who represented three of the named defendants, questioned the timing of the case during the hearing. "Why on earth are we here today when this decision of the admin committee, which by the way my clients had nothing to do with, was made a week ago," he said. If Mr Pesutto is declared bankrupt it would trigger his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn. The payment deadline is Friday. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A judge has hit out at a "half-baked" legal attempt to stop a $1.55 million Liberal loan to save the political future of its former leader. The legal challenge came after the Victorian Liberals' administrative committee decided to lend former leader John Pesutto money to settle his outstanding defamation debt to MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. He coughed up $315,000 in damages and raised about $750,000 through wealthy backers and a GoFundMe campaign, with the remaining $1.55 million leaving him facing bankruptcy. Legal documents filed with the Supreme Court on Thursday sought to block the loan on the grounds it potentially breaches party rules, naming party entity Vapold as a defendant. It was brought by Colleen Harkin, named in the documents as a member of the administrative committee. During a late afternoon hearing, Justice Michael McDonald said each member of the committee should have been named as defendants. "You have come to this court half-baked, you have failed to name the proper defendants," he told barrister Cam Truong KC, acting on behalf of Ms Harkin. "It doesn't get much worse." Justice McDonald said the $1.55 million loan had already been transferred to Mrs Deeming's lawyers and questioned why lawyers had triggered an out-of-hours court hearing. He told the court he could not see "any urgency in this matter" and the case was adjourned to July 4. "The application doesn't get off the runway today," Justice McDonald told the court. Mr Truong did not accept the case was brought improperly as he said the case was filed before the money was transferred. He asked for at least a week to serve all committee members who are now set to be included in the challenge. Daryl Williams KC, who represented three of the named defendants, questioned the timing of the case during the hearing. "Why on earth are we here today when this decision of the admin committee, which by the way my clients had nothing to do with, was made a week ago," he said. If Mr Pesutto is declared bankrupt it would trigger his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn. The payment deadline is Friday. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A judge has hit out at a "half-baked" legal attempt to stop a $1.55 million Liberal loan to save the political future of its former leader. The legal challenge came after the Victorian Liberals' administrative committee decided to lend former leader John Pesutto money to settle his outstanding defamation debt to MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. He coughed up $315,000 in damages and raised about $750,000 through wealthy backers and a GoFundMe campaign, with the remaining $1.55 million leaving him facing bankruptcy. Legal documents filed with the Supreme Court on Thursday sought to block the loan on the grounds it potentially breaches party rules, naming party entity Vapold as a defendant. It was brought by Colleen Harkin, named in the documents as a member of the administrative committee. During a late afternoon hearing, Justice Michael McDonald said each member of the committee should have been named as defendants. "You have come to this court half-baked, you have failed to name the proper defendants," he told barrister Cam Truong KC, acting on behalf of Ms Harkin. "It doesn't get much worse." Justice McDonald said the $1.55 million loan had already been transferred to Mrs Deeming's lawyers and questioned why lawyers had triggered an out-of-hours court hearing. He told the court he could not see "any urgency in this matter" and the case was adjourned to July 4. "The application doesn't get off the runway today," Justice McDonald told the court. Mr Truong did not accept the case was brought improperly as he said the case was filed before the money was transferred. He asked for at least a week to serve all committee members who are now set to be included in the challenge. Daryl Williams KC, who represented three of the named defendants, questioned the timing of the case during the hearing. "Why on earth are we here today when this decision of the admin committee, which by the way my clients had nothing to do with, was made a week ago," he said. If Mr Pesutto is declared bankrupt it would trigger his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn. The payment deadline is Friday. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment.

Legal challenge looms over $1.55m Liberal party loan
Legal challenge looms over $1.55m Liberal party loan

The Advertiser

time26-06-2025

  • Business
  • The Advertiser

Legal challenge looms over $1.55m Liberal party loan

A legal challenge is looming over a state Liberal party's $1.55 million loan to save a former leader's political career. The Victorian Liberals' administrative committee last week agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid. The payment deadline is Friday. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. A Liberal source with knowledge of the situation confirmed on Thursday that the $2.3 million had been transferred to Mrs Deeming's lawyers, including the $1.55 million loan from party entity Vapold. However, a hearing to block the loan on the grounds it potentially breaches party rules has been listed for the Supreme Court on Thursday afternoon. Documents connected to the proceedings are yet to be filed with the court. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A legal challenge is looming over a state Liberal party's $1.55 million loan to save a former leader's political career. The Victorian Liberals' administrative committee last week agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid. The payment deadline is Friday. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. A Liberal source with knowledge of the situation confirmed on Thursday that the $2.3 million had been transferred to Mrs Deeming's lawyers, including the $1.55 million loan from party entity Vapold. However, a hearing to block the loan on the grounds it potentially breaches party rules has been listed for the Supreme Court on Thursday afternoon. Documents connected to the proceedings are yet to be filed with the court. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A legal challenge is looming over a state Liberal party's $1.55 million loan to save a former leader's political career. The Victorian Liberals' administrative committee last week agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid. The payment deadline is Friday. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. A Liberal source with knowledge of the situation confirmed on Thursday that the $2.3 million had been transferred to Mrs Deeming's lawyers, including the $1.55 million loan from party entity Vapold. However, a hearing to block the loan on the grounds it potentially breaches party rules has been listed for the Supreme Court on Thursday afternoon. Documents connected to the proceedings are yet to be filed with the court. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment. A legal challenge is looming over a state Liberal party's $1.55 million loan to save a former leader's political career. The Victorian Liberals' administrative committee last week agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid. The payment deadline is Friday. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. A Liberal source with knowledge of the situation confirmed on Thursday that the $2.3 million had been transferred to Mrs Deeming's lawyers, including the $1.55 million loan from party entity Vapold. However, a hearing to block the loan on the grounds it potentially breaches party rules has been listed for the Supreme Court on Thursday afternoon. Documents connected to the proceedings are yet to be filed with the court. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment.

Legal challenge looms over $1.55m Liberal party loan
Legal challenge looms over $1.55m Liberal party loan

Perth Now

time26-06-2025

  • Business
  • Perth Now

Legal challenge looms over $1.55m Liberal party loan

A legal challenge is looming over a state Liberal party's $1.55 million loan to save a former leader's political career. The Victorian Liberals' administrative committee last week agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid. The payment deadline is Friday. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. A Liberal source with knowledge of the situation confirmed on Thursday that the $2.3 million had been transferred to Mrs Deeming's lawyers, including the $1.55 million loan from party entity Vapold. However, a hearing to block the loan on the grounds it potentially breaches party rules has been listed for the Supreme Court on Thursday afternoon. Documents connected to the proceedings are yet to be filed with the court. Opposition Leader Brad Battin voted in favour of the loan, which must be repaid by Mr Pesutto at market-rate interest, and called for colleagues to drawn a line under the long-running feud. Mrs Deeming was expelled from the Liberal party room over the furore but welcomed back in December as Mr Pesutto lost the leadership. She offered to defer some of Mr Pesutto's legal bill in exchange for her guaranteed preselection and him swearing off trying to return as leader for three years, but the deal fell over. Mrs Deeming and Mr Pesutto were contacted for comment.

Liberal leader's unity call after $1.5m party bailout
Liberal leader's unity call after $1.5m party bailout

The Advertiser

time20-06-2025

  • Politics
  • The Advertiser

Liberal leader's unity call after $1.5m party bailout

A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party. The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming. Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest. Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023. "I would say anyone that states that is factually wrong," he told reporters on Friday. "My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward." Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. The loan for the remainder of the money is not drawn from party campaign or taxpayer funds. Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election. He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box. "All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP. "I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'." Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires. The next potential hiccup could come during candidate preselections, expected to start in September. Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999. "I am confident we'll be going to the next election with a united team," he said. "Victorians are sick of the Liberal Party talking about the Liberal Party." Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message. She compared her treatment to victims of institutional abuse. "They failed to protect her when she was attacked," Mrs Deeming posted. "They punished her for defending herself ... this is what institutional abuse looks like." Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post. An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected. The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail. Mr Pesutto said he was grateful and humbled by the committee's decision. "I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement. Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern. A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party. The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming. Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest. Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023. "I would say anyone that states that is factually wrong," he told reporters on Friday. "My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward." Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. The loan for the remainder of the money is not drawn from party campaign or taxpayer funds. Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election. He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box. "All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP. "I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'." Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires. The next potential hiccup could come during candidate preselections, expected to start in September. Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999. "I am confident we'll be going to the next election with a united team," he said. "Victorians are sick of the Liberal Party talking about the Liberal Party." Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message. She compared her treatment to victims of institutional abuse. "They failed to protect her when she was attacked," Mrs Deeming posted. "They punished her for defending herself ... this is what institutional abuse looks like." Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post. An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected. The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail. Mr Pesutto said he was grateful and humbled by the committee's decision. "I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement. Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern. A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party. The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming. Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest. Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023. "I would say anyone that states that is factually wrong," he told reporters on Friday. "My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward." Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. The loan for the remainder of the money is not drawn from party campaign or taxpayer funds. Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election. He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box. "All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP. "I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'." Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires. The next potential hiccup could come during candidate preselections, expected to start in September. Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999. "I am confident we'll be going to the next election with a united team," he said. "Victorians are sick of the Liberal Party talking about the Liberal Party." Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message. She compared her treatment to victims of institutional abuse. "They failed to protect her when she was attacked," Mrs Deeming posted. "They punished her for defending herself ... this is what institutional abuse looks like." Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post. An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected. The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail. Mr Pesutto said he was grateful and humbled by the committee's decision. "I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement. Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern. A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party. The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming. Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest. Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023. "I would say anyone that states that is factually wrong," he told reporters on Friday. "My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward." Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. The loan for the remainder of the money is not drawn from party campaign or taxpayer funds. Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election. He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box. "All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP. "I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'." Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires. The next potential hiccup could come during candidate preselections, expected to start in September. Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999. "I am confident we'll be going to the next election with a united team," he said. "Victorians are sick of the Liberal Party talking about the Liberal Party." Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message. She compared her treatment to victims of institutional abuse. "They failed to protect her when she was attacked," Mrs Deeming posted. "They punished her for defending herself ... this is what institutional abuse looks like." Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post. An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected. The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail. Mr Pesutto said he was grateful and humbled by the committee's decision. "I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement. Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern.

'Smell the roses': $1.5m Liberal loan to end legal saga
'Smell the roses': $1.5m Liberal loan to end legal saga

The Advertiser

time19-06-2025

  • Politics
  • The Advertiser

'Smell the roses': $1.5m Liberal loan to end legal saga

A $1.5 million loan has been granted to former state Liberal leader John Pesutto, with the fractured party desperate to draw a line under a long-running defamation saga. The Victorian Liberals' administrative committee met on Thursday night and agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. The Hawthorn MP was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat, unless the debt was paid back in a matter of weeks. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. An offer to defer some of the legal bill in exchange for Mrs Deeming's guaranteed preselection and Mr Pesutto swearing off trying to return as leader for three years was rebuffed. In a letter to party members on late on Thursday, Victorian Liberal president Philip Davis said the money would be paid directly to Mrs Deeming. Mr Pesutto will be required to repay the loan at market-rate interest. Mr Davis said the deal would avert a by-election and allow the Liberals' parliamentary party to focus the issues that matter to the Victorian community. "Settling this matter once and for all is in the interests of the party as it will see an end to the ongoing commentary that is letting Labor get away with their appalling performance," he wrote. "Victorians needs a change of government." Entering parliament on Thursday morning, Mr Pesutto was upbeat about the committee agreeing to his loan request. "Tonight's an opportunity to square (the issue) off and put it all behind us," he said. Mrs Deeming, who was expelled from the party room before being welcomed back in December, was sceptical it would end the infighting that has engulfed the party since March 2023. "I assume that they will continue with their quest to try to annihilate me," the upper house MP said. Mrs Deeming said the party could "do what they like" but she would take any support of Mr Pesutto as a "direct rebukement (sic)" of the court judgement. Opposition Leader Brad Battin attended Thursday night's meeting but would not reveal to reporters how he planned to vote. Mr Battin urged Mrs Deeming and Mr Pesutto to "smell the roses" if either woke up on Friday morning unhappy with the outcome. Time is running out for Mr Battin to unite the Liberals before the next state election in November 2026. A $1.5 million loan has been granted to former state Liberal leader John Pesutto, with the fractured party desperate to draw a line under a long-running defamation saga. The Victorian Liberals' administrative committee met on Thursday night and agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. The Hawthorn MP was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat, unless the debt was paid back in a matter of weeks. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. An offer to defer some of the legal bill in exchange for Mrs Deeming's guaranteed preselection and Mr Pesutto swearing off trying to return as leader for three years was rebuffed. In a letter to party members on late on Thursday, Victorian Liberal president Philip Davis said the money would be paid directly to Mrs Deeming. Mr Pesutto will be required to repay the loan at market-rate interest. Mr Davis said the deal would avert a by-election and allow the Liberals' parliamentary party to focus the issues that matter to the Victorian community. "Settling this matter once and for all is in the interests of the party as it will see an end to the ongoing commentary that is letting Labor get away with their appalling performance," he wrote. "Victorians needs a change of government." Entering parliament on Thursday morning, Mr Pesutto was upbeat about the committee agreeing to his loan request. "Tonight's an opportunity to square (the issue) off and put it all behind us," he said. Mrs Deeming, who was expelled from the party room before being welcomed back in December, was sceptical it would end the infighting that has engulfed the party since March 2023. "I assume that they will continue with their quest to try to annihilate me," the upper house MP said. Mrs Deeming said the party could "do what they like" but she would take any support of Mr Pesutto as a "direct rebukement (sic)" of the court judgement. Opposition Leader Brad Battin attended Thursday night's meeting but would not reveal to reporters how he planned to vote. Mr Battin urged Mrs Deeming and Mr Pesutto to "smell the roses" if either woke up on Friday morning unhappy with the outcome. Time is running out for Mr Battin to unite the Liberals before the next state election in November 2026. A $1.5 million loan has been granted to former state Liberal leader John Pesutto, with the fractured party desperate to draw a line under a long-running defamation saga. The Victorian Liberals' administrative committee met on Thursday night and agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. The Hawthorn MP was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat, unless the debt was paid back in a matter of weeks. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. An offer to defer some of the legal bill in exchange for Mrs Deeming's guaranteed preselection and Mr Pesutto swearing off trying to return as leader for three years was rebuffed. In a letter to party members on late on Thursday, Victorian Liberal president Philip Davis said the money would be paid directly to Mrs Deeming. Mr Pesutto will be required to repay the loan at market-rate interest. Mr Davis said the deal would avert a by-election and allow the Liberals' parliamentary party to focus the issues that matter to the Victorian community. "Settling this matter once and for all is in the interests of the party as it will see an end to the ongoing commentary that is letting Labor get away with their appalling performance," he wrote. "Victorians needs a change of government." Entering parliament on Thursday morning, Mr Pesutto was upbeat about the committee agreeing to his loan request. "Tonight's an opportunity to square (the issue) off and put it all behind us," he said. Mrs Deeming, who was expelled from the party room before being welcomed back in December, was sceptical it would end the infighting that has engulfed the party since March 2023. "I assume that they will continue with their quest to try to annihilate me," the upper house MP said. Mrs Deeming said the party could "do what they like" but she would take any support of Mr Pesutto as a "direct rebukement (sic)" of the court judgement. Opposition Leader Brad Battin attended Thursday night's meeting but would not reveal to reporters how he planned to vote. Mr Battin urged Mrs Deeming and Mr Pesutto to "smell the roses" if either woke up on Friday morning unhappy with the outcome. Time is running out for Mr Battin to unite the Liberals before the next state election in November 2026. A $1.5 million loan has been granted to former state Liberal leader John Pesutto, with the fractured party desperate to draw a line under a long-running defamation saga. The Victorian Liberals' administrative committee met on Thursday night and agreed to lend former leader John Pesutto $1.55 million to settle his debt to first-term MP Moira Deeming. The Hawthorn MP was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis. It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat, unless the debt was paid back in a matter of weeks. Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign. An offer to defer some of the legal bill in exchange for Mrs Deeming's guaranteed preselection and Mr Pesutto swearing off trying to return as leader for three years was rebuffed. In a letter to party members on late on Thursday, Victorian Liberal president Philip Davis said the money would be paid directly to Mrs Deeming. Mr Pesutto will be required to repay the loan at market-rate interest. Mr Davis said the deal would avert a by-election and allow the Liberals' parliamentary party to focus the issues that matter to the Victorian community. "Settling this matter once and for all is in the interests of the party as it will see an end to the ongoing commentary that is letting Labor get away with their appalling performance," he wrote. "Victorians needs a change of government." Entering parliament on Thursday morning, Mr Pesutto was upbeat about the committee agreeing to his loan request. "Tonight's an opportunity to square (the issue) off and put it all behind us," he said. Mrs Deeming, who was expelled from the party room before being welcomed back in December, was sceptical it would end the infighting that has engulfed the party since March 2023. "I assume that they will continue with their quest to try to annihilate me," the upper house MP said. Mrs Deeming said the party could "do what they like" but she would take any support of Mr Pesutto as a "direct rebukement (sic)" of the court judgement. Opposition Leader Brad Battin attended Thursday night's meeting but would not reveal to reporters how he planned to vote. Mr Battin urged Mrs Deeming and Mr Pesutto to "smell the roses" if either woke up on Friday morning unhappy with the outcome. Time is running out for Mr Battin to unite the Liberals before the next state election in November 2026.

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