Clive Palmer to testify in court over Queensland Nickel's demise
Updated
Businessman and former federal MP Clive Palmer is to appear in the Federal Court in Brisbane today as liquidators of his failed Queensland Nickel company look to question him over its demise.
Mr Palmer has denied he was to blame for the demise of Queensland Nickel, which collapsed with debts of about $300 million, leaving about 800 Townsville refinery workers without jobs.
Mr Palmer has claimed the Federal and State governments were to blame because they refused requests for a modest loan that would have allowed the company to trade out of trouble after world nickel prices slumped.
However, Queensland Nickel's general purpose liquidators, FTI Consulting, claim there has been evidence he was secretly running Queensland Nickel with his nephew, Clive Mensink.
In the report to creditors after the company went into administration just over a year ago, FTI also said there was evidence that Mr Palmer had used Queensland Nickel to bankroll his other businesses, and even his political party.
During his initial round of evidence in the Federal Court in September, Mr Palmer denied acting as a shadow director.
He admitted he had the authority to direct Queensland Nickel to make political donations, support his other companies, and even forgive loans to other companies he owned.
But he said there was nothing untoward about any of that, given Queensland Nickel was owned by companies that belonged entirely to him.
Last week, lawyers for FTI questioned Queensland Nickel's former chief financial officer Daren Wolfe about a deal that was inked just five days before the company was put in administration over debt concerns.
The deal, signed by Mr Mensink and Mr Palmer's wife Anna, committed Queensland Nickel to buying $135 million worth of shares in another of Mr Palmer's companies, China First, which then had recourse to go after Queensland Nickel's assets if the money was not paid.
The court has been adjourned until later this afternoon.
Legal action against PM launched
Outside court, Mr Palmer told reporters he would be taking legal action against Prime Minister Malcolm Turnbull for defamation and has previously said he was the victim of a witch hunt.
"Let me say at the moment it is very pleasing what's happened in the investigation so far — the truth is coming out and our proceedings against the Prime Minister have been launched," he said.
"Malcolm Turnbull will have his day in court to tell the Australian people what really happened about Queensland Nickel and Senator [Michaela] Cash will have her time in court too to make her explanation."
He said more details would emerge later today.
Mr Palmer's lawyers last week tried to excuse his attendance, saying it was "inconvenient" for him to evidence when he has a Supreme Court trial due to begin.
When asked about this, Mr Palmer took aim at the media.
"The Courier Mail is the home of fake news in Queensland," he said.
ABC/AAP
Topics: courts-and-trials, company-news, clive-palmer, federal-government, brisbane-4000, qld, australia, townsville-4810
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