Liberal leader's unity call after $1.5m party bailout

The Advertiser

20-06-2025

A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party.
The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming.
Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest.
Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023.
"I would say anyone that states that is factually wrong," he told reporters on Friday.
"My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward."
Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis.
It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July.
Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign.
The loan for the remainder of the money is not drawn from party campaign or taxpayer funds.
Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election.
He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box.
"All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP.
"I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'."
Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires.
The next potential hiccup could come during candidate preselections, expected to start in September.
Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999.
"I am confident we'll be going to the next election with a united team," he said.
"Victorians are sick of the Liberal Party talking about the Liberal Party."
Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message.
She compared her treatment to victims of institutional abuse.
"They failed to protect her when she was attacked," Mrs Deeming posted.
"They punished her for defending herself ... this is what institutional abuse looks like."
Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post.
An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected.
The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail.
Mr Pesutto said he was grateful and humbled by the committee's decision.
"I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement.
Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern.
A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party.
The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming.
Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest.
Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023.
"I would say anyone that states that is factually wrong," he told reporters on Friday.
"My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward."
Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis.
It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July.
Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign.
The loan for the remainder of the money is not drawn from party campaign or taxpayer funds.
Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election.
He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box.
"All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP.
"I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'."
Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires.
The next potential hiccup could come during candidate preselections, expected to start in September.
Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999.
"I am confident we'll be going to the next election with a united team," he said.
"Victorians are sick of the Liberal Party talking about the Liberal Party."
Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message.
She compared her treatment to victims of institutional abuse.
"They failed to protect her when she was attacked," Mrs Deeming posted.
"They punished her for defending herself ... this is what institutional abuse looks like."
Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post.
An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected.
The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail.
Mr Pesutto said he was grateful and humbled by the committee's decision.
"I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement.
Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern.
A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party.
The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming.
Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest.
Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023.
"I would say anyone that states that is factually wrong," he told reporters on Friday.
"My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward."
Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis.
It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July.
Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign.
The loan for the remainder of the money is not drawn from party campaign or taxpayer funds.
Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election.
He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box.
"All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP.
"I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'."
Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires.
The next potential hiccup could come during candidate preselections, expected to start in September.
Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999.
"I am confident we'll be going to the next election with a united team," he said.
"Victorians are sick of the Liberal Party talking about the Liberal Party."
Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message.
She compared her treatment to victims of institutional abuse.
"They failed to protect her when she was attacked," Mrs Deeming posted.
"They punished her for defending herself ... this is what institutional abuse looks like."
Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post.
An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected.
The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail.
Mr Pesutto said he was grateful and humbled by the committee's decision.
"I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement.
Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern.
A state Liberal leader is defending a million-dollar bailout to save his predecessor's political career and reunite his fractured party.
The Victorian Liberals' administrative committee on Thursday night agreed to lend former leader John Pesutto $1.55 million to settle legal costs owed to first-term MP Moira Deeming.
Opposition Leader Brad Battin voted to support the deal, with the money to be paid directly to Mrs Deeming and Mr Pesutto set to repay it at market-rate interest.
Mr Battin denied he had effectively chosen to side with Mr Pesutto in his defamation dispute with Mrs Deeming, which has engulfed the party since March 2023.
"I would say anyone that states that is factually wrong," he told reporters on Friday.
"My side is on the Victorian Liberal Party to ensure we can put a line in the sand and move forward."
Mr Pesutto was ordered to pay $2.3 million in legal costs to Mrs Deeming after the Federal Court found he defamed her by implying she was associated with neo-Nazis.
It left him facing bankruptcy, which would have triggered his exit from parliament and a subsequent by-election in his marginal seat of Hawthorn, unless the debt was paid by the end of July.
Mr Pesutto, who has already coughed up $315,000 in damages, had only raised about $750,000 through wealthy backers and a GoFundMe campaign.
The loan for the remainder of the money is not drawn from party campaign or taxpayer funds.
Political scientist Zareh Ghazarian said the party had "dodged a bullet" by avoiding a politically dangerous by-election.
He said the public episode demonstrated deep divisions within the Liberals' parliamentary ranks and could have consequences at the ballot box.
"All political parties have divisions ... but it's really important that the party appears united," the Monash University political lecturer told AAP.
"I'm reminded of the line that Bob Hawke used in the lead up to the 1990 election that 'if you can't govern yourselves, you can't govern the country'."
Dr Ghazarian said Mr Battin and the party had "plenty of time" to mend fences before the November 2026 election, but could not afford more internal spotfires.
The next potential hiccup could come during candidate preselections, expected to start in September.
Mr Battin plans to speak with his colleagues to stress the need to present a credible alternative to the Victorian Labor government, in power for all but four years since 1999.
"I am confident we'll be going to the next election with a united team," he said.
"Victorians are sick of the Liberal Party talking about the Liberal Party."
Mrs Deeming, who was expelled from the Liberal party room over the furore before returning in December, did not appear to subscribe to Mr Battin's unity message.
She compared her treatment to victims of institutional abuse.
"They failed to protect her when she was attacked," Mrs Deeming posted.
"They punished her for defending herself ... this is what institutional abuse looks like."
Mr Battin said he would speak to Mrs Deeming, but refused to comment on the substance of her post.
An offer to defer some of Mr Pesutto's legal bill in exchange for Mrs Deeming's guaranteed preselection and him swearing off trying to return as leader for three years was rejected.
The proposed deal led to a complaint to the state's corruption watchdog, but Mrs Deeming denied claims of blackmail.
Mr Pesutto said he was grateful and humbled by the committee's decision.
"I am totally committed to continuing my work as the member for Hawthorn and also serving as a member of Brad's team," he said in a statement.
Deputy Premier Ben Carroll was similarly relieved for Mr Pesutto and his family, but argued the "never-ending schoolyard spat" showed the Liberals were unfit to govern.