Channel 7 chairman Kerry Stokes’ $25 million bill for Ben Roberts-Smith defamation case

Seven boss Kerry Stokes could be on the nose for millions of dollars following Ben Roberts-Smith’s defamation case – and Nine want even more.

All eyes might on Ben Roberts-Smith following his blockbuster defamation case, but it’s a media mogul who will be licking his financial wounds.

By some estimations, Seven West Media chairman Kerry Stokes has lost at least $25 million through his bankrolling of the former SAS soldiers’ legal battles – and it could end up being a whole lot more.

On Thursday, a defamation case bought by Mr Roberts-Smith against the Nine owned newspapers’ The Sydney Morning Herald and The Age as well as The Canberra Times was dismissed.

Justice Anthony Besanko found some of the imputations of war crimes and murder put forward across six articles were found to be substantially true.

In effect the case pitted Nine’s coffers against those of Channel 7 given Mr Stokes’ enthusiastic financial backing of Mr Roberts-Smith.

Much of the funding for Ben Roberts-Smiths’ case has come from Kerry Stokes. (Photo by Paul Kane/Getty Images)

On Thursday, Mr Stokes, whose family is the majority owner of Seven West Media which in turn owns the Seven Network, said the decision “does not accord with the man I know”.

Mr Stokes had employed Mr Roberts-Smith as the manager of Seven’s Queensland TV division, although he has been on leave during the case.

In November, the SMH reported that Mr Stokes had lashed “scumbag journalists” for reporting on his employee.

It’s estimated the case has cost both sides around $25 million, with Mr Stokes likely to be liable for much of Mr Roberts-Smith’s legal costs.

Nine’s lead barrister Nicholas Owen SC has said the company will now try and to recoup some of its millions of dollars of costs from Mr Roberts-Smith’s side.

In 2021, the SMHreported that Seven had also lent Mr Roberts-Smith $1.87m to fund his defence. Seven said the money had since been repaid. Mr Roberts-Smith reportedly put his Victoria Cross – worth $2m – up as collateral against the loan.

Seven West Media chairman Kerry Stokes. Picture: Colin Murty/The Australian.

Kerry Stokes continues to back Roberts-Smith

Following the verdict, Mr Stokes continued to back Mr Roberts-Smith.

“I know this will be particularly hard for Ben, who has always maintained his innocence,” the he said in a statement.

“That his fellow soldiers have disagreed with each other, this outcome will be the source of additional grief.

“I haven’t had a chance to have a discussion with Ben as yet, but I will when he has had a chance to fully absorb the judgment.”

Seven confirmed that Mr Roberts-Smith was still on leave and would “make a decision on his future in the near future”.

The chairman of the national SAS Association has also responded to the case’s outcome.

Speaking to the ABC shortly after the decision was handed down, Martin Hamilton-Smith implored that the majority of SAS members fought bravely for their country and lamented a “very disappointing day”.

The chairman criticised the “public airing of issues” in the media and said it had been “very traumatic” for a group of soldiers he says are being subject to trauma.

“The judgement today, which is by the way a defamation matter not a criminal proceeding, is going to be disappointing to many.

Chairman of the national SAS Association Martin Hamilton-Smith. Picture: Sam Mooy / Adelaide Bureau

“I’m very concerned as the national chairman for our veterans and their families, because the public airing of all these issues, trial by media, the way it has been handled generally, not just this trial but the general made in public of the Brereton inquiry, the trial by association, has been very traumatic for a group of soldiers, 99.9 per cent of whom did nothing more than fight bravely for their country.

“They are being re-traumatised after having gone through a difficult war. Now, with all these matters, the sooner they are dealt with the better.”

Hamilton-Smith said the only way to get the “real truth” is to get it into the criminal court.

“Both sides of the story can be told, and beyond reasonable doubt the facts established,” he continued.

“I don’t think the judgement gives us anything other than resolving the defamation case. I know it will be interpreted differently in the media. To get to the real truth of things, you have to get these matters before a criminal court.”

Meanwhile, Channel 9 director James Chessell said the result was a vindication of reporting on a “difficult story”.

“Today is a pivotal moment in this story, and we are very pleased with the result,” he said.

“The series of stories at the centre of this trial will have a lasting impact on the Australian Defence Force.

“We will continue to hold people involved in war crimes to account.

“The responsibility for these atrocities does not end with Ben Robert Smith.”

Where Roberts-Smith was during court hearing

Roberts-Smith was pictured lying poolside in Bali at a $500-a-night resort while awaiting the verdict of his defamation case.

According to 9 News, the Victoria Cross recipient checked into the hotel on Tuesday.

Many expected Mr Roberts-Smith to attend court today, as he did every single day during the 110-day long trial, even when former comrades and his ex-wife gave evidence against him.

However, he is not legally required to be in court for the decision.

The proceedings were officially dismissed, after Justice Besanko found the articles proved some, not all of the defamatory imputations, in a major win for the newspapers.

Ben Roberts-Smith has been pictured lying poolside in Bali at a $500-a-night resort while awaiting the verdict of his defamation case against Nine newspapers.

There was silence across the courtroom as Justice Besanko found the decorated veteran was a murderer and a war criminal in his conclusions.

He said the most serious imputations alleged in the articles had been proven, and he upheld the defence of contextual truth for the remainder.

Justice Besanko found allegations of threats and domestic violence could not be proven, but was “satisfied” the defence made out the defence of contextual truth.

While not every murder allegation was established by the newspapers, the judge found the two key killings had taken place.

Justice Besanko found Mr Roberts-Smith’s actions on the mission to Whiskey 108 on Easter Sunday in 2009 were found to be substantially true, meaning he was found to have allegedly “frog marched” a man with a prosthetic leg out of a secret tunnel at the compound.

He has been found by the court to have shot the man with a machine gun in the back.

Justice Besanko also found the murder of Ali Jan at Darwan in September 2012 to be substantially true, where Mr Roberts-Smith allegedly kicked the detained shepherd off a cliff while he was handcuffed.

It is alleged Mr Roberts-Smith marched the farmer to stand above the 10-metre-high cliff before kicking him onto a dry riverbed below.

Originally published as Channel 7 chairman Kerry Stokes’ $25 million bill for Ben Roberts-Smith defamation case