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West Australian senator Rod Culleton walks out of Federal Court hearing

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A legal hearing involving West Australian senator Rod Culleton descended into chaos on Monday morning with the embattled politician delaying proceedings by refusing to take to the court room.

Less than 24 hours after resigning from Pauline Hanson's One Nation Party, Senator Culleton demanded an adjournment in Federal Court in Perth - claiming two people in attendance were breaching violence restraining orders, taken out by his wife Ioanna.

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Rod Culleton on leaving One Nation

Pauline Hanson and Rod Culleton explain why the Senator has resigned from One Nation. Vision courtesy ABC News 24.

"If you're not going to remove them, I will stand down," Senator Culleton said during a brief spell in front of the judge before walking out on proceedings.

"If you're not going to address the issue, I will remove myself, I need my wife here now. I will not be bullied."

The judge ordered a number of brief adjournments and it took more than an hour for the hearing to recommence.

Once back in court Senator Culleton asked how proceedings could continue to which Justice Michael Barker responded "I'm running this court, not you." 

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But in a bizarre turn of events police arrived at court to forcibly remove Bruce Bell and Frank Bertola, the two people alleged to be in breach of VROs.

The case was again adjourned as police escorted the men to an awaiting van - where Mr Bell claimed he needed an ambulance, having left his medication at court.

Earlier, Senator Culleton, who is representing himself in the case, took to the stand to cross examine the police officer who handed him his bankruptcy papers.

He asked the officer how he had responded to the notice to which Sergeant Matthew Scott said: "You put your hands in the air and said 'I'm not f---ing taking that."

Senator Culleton responded, saying: "Given my experience with you guys maybe I thought I was going to get Tasered."  

The former One Nation representative was in court to challenge a three-year-old court judgment ordering him to pay $205,000 in damages to former Wesfarmers director Dick Lester.

The matter relates to a 2009 deal he and his wife Iona inked with Mr Lester's Balwyn Nominees for land near Williams in Western Australia's Wheatbelt region as the couple planned to expand their oat farming operation.

The deal was terminated within a fortnight when the Culleton's ran into financial trouble and Balwyn was awarded damages of $205,536 for lost rent in a 2013 District Court of WA judgment.

During a lunch break in the case Senator Culleton addressed the media, referring to his departure from One Nation and his repeated calls for Royal Commission into the banks.

"It wasn't all Pauline. It was a team effort. I funded 99.8 per cent of my campaign myself and I think I came home very well... look how much we beat the Nationals by. It was a joint effort," he said

"I was approached by Pauline Hanson and look at the work that I have done in a short time. I am getting all this attention in the courts because I am actually getting stuff done.

"My allegiance is with the people who elected me. I am not saying I will not still stick to the primary ethos of One Nation, I'm saying I'm standing as an independent outside Pauline Hanson's One Nation and a royal commission is where I will go."

He also used the break to emphasise that the money being chased by Mr Lester's Balwyn Nominees and reiterate that he wasn't insolvent.

Back in court he told the judge he had substantial monies, in excess of $300,000, that was available to be used.

He continually interrupted the judge's attempt to summarise the issues at hand, at one point telling the judge "I am a senator..." at which point the judge lost patience and retorted, "it doesn't matter if you're a senator or a janitor".

The judge eventually succeeded in summarising the major issues of the case: first, whether a bankruptcy notice had been served on Senator Culleton; second whether the District Court's earlier decision was valid; and third whether Senator Culleton had a counter claim.

The counsel for Mr Lester argued the notice had been served and that Mr Culleton had exhausted all avenues of appeal on a "full and open" District Court decision. He had provided "basically no evidence" for any counter claim and his submissions to the court were "erroneous" and "completely without foundation".

He said there was no evidence Mr Culleton was solvent. 

Mr Culleton responded to these remarks by saying he "just needed to ring a legal person to address some of those issues" but when the judge told him he needed to get on with it, he then asked for a bathroom break, which was granted.

More impatient words were exchanged after this break, with Mr Culleton attempting to explain his grounds for a counter claim but being told by an exasperated judge "don't refer to the court as 'mate'."

Mr Culleton rounded off his arguments by repeating that he was not insolvent, but that he had never been served with any bankruptcy papers and because of this the "reset button should be pushed" to give him another 21 days. 

Justice Barker reserved his decision with a result expected to be made on Friday morning.