Chau Chak Wing seeks maximum damages from Fairfax

Lawyers for the Chinese-Australian billionaire want maximum damages in defamation proceedings against Fairfax Media.

Chau Chak Wing leaves the Federal Court in Sydney on Tuesday. Picture: AAP

Lawyers for Chinese-Australian billionaire Chau Chak Wing have called for maximum damages in defamation proceedings against Fairfax Media.

Mr Chau’s barrister, Bruce McClintock SC, told the Federal Court: “(Mr Chau) is a wealthy man … but it is very, very important to my client that he be cleared.”

Mr Chau is suing Fairfax Media and its former Asia-Pacific editor John Garnaut over an online article headlined “Are Chau Chak Wing’s circles of influence in Australia-China ties built on hot air?”

The article, published by The Sydney Morning Herald on October 16, 2015, alleged Mr Chau was the unnamed Chinese businessman identified only as CC-3 in an indictment over charges of bribery of former UN General ­Assembly president John Ashe.

Over the past week, Fairfax Media has argued the article was only ever meant to raise “strong suspicion” about Mr Chau’s ­involvement in the UN bribery scandal and his powerful sphere of influence with former Australian prime ministers and ­premiers.

But in the final day of the high-stakes trial, Mr McClintock told the court Fairfax could not escape the charge that the article had damaged Mr Chau’s reputation as one of Australia’s most generous political donors.

The article, he said, had implied Mr Chau was hiding from authorities in his “personal ­imperial palace” near Guangzhou following the bribery investigation by the US Justice Department.

There was also the smear that he had built his business empire in Australia on illicit payments to ­officials.

Mr McClintock said despite denials by Mr Chau in the article that he had any knowledge of or involvement in the bribery scandal, the article had repeatedly undermined Mr Chau’s credibility, including a reference to the fact he was not a “real doctor” and had never been to university.

The clear inference, said Mr McClintock, was that Mr Chau was a “liar” and a “bullshit artist”.

The maximum payout for general damages for defamation in NSW is $389,000 but Mr Chau’s legal team is not seeking ­aggravated damages.

Federal Court judge Michael Wigney repeatedly challenged Fairfax Media’s submissions, even questioning why the article had referred to the $70 million Sydney mansion Mr Chau had bought “sight unseen” from gaming tycoon James Packer. Justice Wigney reserved his judgment.