Salim Mehajer’s fresh legal fight over bankruptcy

Disgraced politician Salim Mehajer has yet another legal fight on his hand – this time over an attempt to have his bankruptcy discharged.

Disgraced politician Salim Mehajer has launched a desperate attempt to have his bankruptcy discharged amid a slew of legal fights.

Mehajer on Thursday appeared in Sydney’s Federal Court, beamed in via video link from Cooma Correctional Centre.

Justice Scott Goodman was told that Mehajer had launched an appeal against an Administrative Appeals Tribunal (AAT) decision from May this year in which his bankruptcy was extended until 2026.

In March 2018, the Federal Court declared Mehajer bankrupt after he was found to have owed about $25m, including $8.6m to the Australian Taxation Office.

He launched several annulment applications against the decision, with the court ultimately refusing to grant an extension of time.

Bankruptcies are automatically discharged after three years, unless an objection has been filed, and Mehajer’s period of bankruptcy was due to end in 2021.

Salim Mehajer appeared in court on Thursday in a bid to have his bankruptcy discharged. Picture: NCA NewsWire/Bianca De Marchi.

The trustee of his bankrupt estate lodged an objection to the discharge of his bankruptcy, citing his failure to pay an amount he was liable for and failure to provide information about his properties and incomes.

In January 2021, the Inspector-General in Bankruptcy confirmed the trustee’s objection, effectively resulting in Mehajer remaining bankrupt until May 2026.

He launched an appeal to the AAT, claiming he had valid reason for failing to comply with the requests, including medical issues.

However, the AAT found his claims were “contradictory and unpersuasive”.

He claimed he had valid reason for failing to comply with the requests. Picture: NCA NewsWire/Joel Carrett.

Mehajer has now appealed against that decision in the Federal Court, though the Inspector-General in Bankruptcy has applied to dismiss the proceedings.

The court was told that he was seeking leave to appeal, even though his time to do so had expired.

He appeared in court on Thursday via video link in prison greens and with a cache of papers on a desk in front of him.

He asked the other parties to direct their legal correspondence with him via the correctional centre’s email because his personal email address was only checked intermittently.

He also said that all his phone calls in jail were recorded and he consented to a transcript being sent to lawyers for the trustee and the Inspector-General in Bankruptcy.

The matter will return to court later this month.

Mehajer was in April last year jailed for at least two years and three months for lying under oath to further his business interests.

The former Auburn deputy mayor is not eligible for parole until January next year after he was found guilty of two counts of perverting the course of justice and one count of making a false statement under oath.

Separately, in June this year, Mehajer was blocked from launching legal action in NSW after his attempt to sue former business partners for $52m backfired.

The controversial former developer was declared a “vexatious litigant” by the NSW Supreme Court.

Under the orders, the Mehajer is prohibited from bringing any new proceedings in NSW unless granted leave by the court.