A former senator’s bid to discover where Brittany Higgins’ $2.4 million compensation payout went following their bruising defamation battle has been frustrated by a bankruptcy paperwork glitch.
Ex-Liberal senator Linda Reynolds successfully sued Ms Higgins over a series of social media posts the former defence minister believed damaged her reputation.
Ms Reynolds was awarded damages of $315,000 plus $26,109 interest after Western Australia’s Supreme Court in August found some of the posts were defamatory.
The former political staffer was also ordered to pay 80 per cent of her former boss’s legal costs, which are estimated to be more than $1 million.
Ms Reynolds launched bankruptcy proceedings in October against Ms Higgins to recoup the costs awarded in her defamation win.
A Federal Court hearing on Tuesday was expected to result in Ms Higgins being declared bankrupt, but a technical issue led to the matter being adjourned.
Ms Reynolds’ lawyer Martin Bennett said his client would continue to pursue Ms Higgins after he had complied with the court’s request for more information.
“(Ms Reynolds) is incredibly disappointed that Ms Higgins got $2.4 million worth of taxpayer money and has paid not a cent towards the judgment against her,” he told reporters outside the court.
“It cost her an enormous amount to prove that dishonest lies had been said about her and not a cent has been recovered.”
If Ms Higgins is rendered bankrupt by a court order, a trustee will be appointed and could investigate a trust Ms Reynolds alleged the former staffer was using to protect her Commonwealth payout.
“Ms Higgins is saying she personally has no money (but) where is the $2.4 million?” Ms Bennett said.
Ms Higgins apologised to Ms Reynolds after the former defence minister emerged victorious from the duo’s high-profile five-week defamation trial.
Justice Paul Tottle found Ms Higgins’ social media posts carried an array of imputations.
They included that Ms Reynolds engaged in a campaign of harassment against Ms Higgins, mishandled her rape allegation and engaged in questionable conduct during Bruce Lehrmann’s aborted criminal trial for rape.
The 360-page judgment made factual findings about the events involving Ms Reynolds and Ms Higgins, including her alleged 2019 rape and the events in the years after it.
Ms Higgins made 26 false or misleading statements in media interviews after her alleged sexual assault, the judgment said.
She alleges former co-worker Lehrmann raped her in the senator’s ministerial suite.
A Federal Court judge overseeing a defamation case launched by Lehrmann against Network Ten found Ms Higgins was, on the balance of probabilities, raped by her former co-worker in the office.
Lehrmann is appealing that finding.
He has always denied the rape allegation and his criminal trial was derailed by juror misconduct.
Ms Higgins’ husband David Sharaz was also served with a bankruptcy notice by Ms Reynolds and is expected to declare bankruptcy.
He was also found to have defamed the former politician and was ordered to pay $85,000 in damages plus interest and costs.
Ms Higgins’ bankruptcy matter will return to the same court next Tuesday.
1800 RESPECT (1800 737 732)
National Sexual Abuse and Redress Support Service 1800 211 028
