By Aaron Bunch
Clive Palmer has settled another massive chunk of his $200 million lawsuit over the collapse of Queensland Nickel, including repaying $66 million in taxpayer funds used to pay sacked workers.
The deal is understood to be worth about $110 million and provides for the full repayment of the Commonwealth's money, which was used to cover hundreds of workers' entitlements when the Townsville refinery was shut in 2016.
Clive Palmer outside the District Court in Brisbane.Credit: Jono Searle/AAP
It also secures the full recovery for the majority of unsecured creditors, plus all other outstanding employee entitlements, special purpose liquidator Stephen Parbery said in a statement late on Monday.
The breakthrough follows settlement of an $88 million Aurizon claim on Thursday after days of talks between the billionaire businessman and the liquidators outside the Brisbane Supreme Court trial, where the claims are being heard.
That deal is understood to be worth $18 million and settled all outstanding Aurizon rail haulage fees but did not include a $70 million claim for lost revenue resulting from the early termination of QN's contract.
A lawyer for the liquidators, Shane Doyle, announced Monday's settlement to the court, saying all claims for the special purpose had now been concluded.
"It leaves in the proceedings those claims which are within the scope of the (general purpose liquidators') authority," he said.
These include a claim against Mr Palmer's company Mineralogy, which the court has heard allegedly received loans worth $115 million from QN without repaying them.
It also includes accusations the refinery traded insolvently before administrators were called and Mr
Palmer was allegedly a party to a $235 million uncommercial transaction related to his mining projects in the Galilee Basin.
Despite the progress being made resolving the three-year stand-off with liquidators, Mr Palmer has been absent from the court since Tuesday.
However, in a statement, the former federal MP said the latest deal vindicated his fight against the liquidators.
"Today's settlement confirms the actions against me were nothing more than a witch-hunt designed to smear my good reputation," he said.
Mr Palmer confirmed he'd agreed to repay taxpayers in full and settle all outstanding QN creditors, but said it didn't include paying the liquidators' legal fees.
The last time the self-represented mining magnate attended was on Tuesday when he told Justice Mullins he needed to take a day off to brief an expert witness.
The witness is expected to testify that QN wasn't trading insolvently in the months before Mr Palmer's team called in administrators.
The court has previously heard that as the refinery hurtled towards collapse in late 2015, the ailing company was $25 million in the red and losing $5 million more each month with creditors circling.
The refinery's debt-riddled predicament came to a head in January 2016 when Aurizon rejected the Palmer team's payment plan for rail transport debts and threatened to suspend its services.
QN then entered voluntary administration, which led to the refinery closing three months later.
The trial continues on Thursday to hear the remainder of the general-purpose liquidators' claims, which are understood to be worth more than $100 million.
AAP