Former Victorian Opposition Leader John Pesutto facing bankruptcy

Former Victorian Opposition Leader John Pesutto is facing bankruptcy after being ordered to pay $2.3 million towards Liberal colleague Moira Deeming’s legal costs.

In December, the Federal Court ordered Pesutto to pay $315,000 in damages to Deeming, along with her legal expenses, after finding he had repeatedly defamed her by falsely suggesting she was linked to neo-Nazis.

The court has spent months determining how much of Deeming’s legal costs Pesutto should cover.

The court’s full reasons for awarding the $2.3 million have not yet been published. Pesutto is required to pay the full amount in a lump sum or risk bankruptcy, which would force him out of Parliament and trigger a by-election in the marginal seat of Hawthorn.

He also has the option to appeal the decision.

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