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Former Health Services Union boss Kathy Jackson declares bankruptcy Former Health Services Union boss Kathy Jackson declares bankruptcy
(35 minutes later)
Former Health Services Union boss Kathy Jackson has declared bankruptcy and has not appeared for the first day of a hearing into a civil claim against her, the federal court has been told.Former Health Services Union boss Kathy Jackson has declared bankruptcy and has not appeared for the first day of a hearing into a civil claim against her, the federal court has been told.
Related: Kathy Jackson loses attempt to stop HSU civil case against herRelated: Kathy Jackson loses attempt to stop HSU civil case against her
Jackson was due to appear in the federal court on Monday for the start of a civil case brought against her by the union for allegedly acting outside her authority as national secretary and spending $660,000 in funds on personal expenses, including holidays and shopping.Jackson was due to appear in the federal court on Monday for the start of a civil case brought against her by the union for allegedly acting outside her authority as national secretary and spending $660,000 in funds on personal expenses, including holidays and shopping.
The HSU had also been seeking to freeze Jackson’s assets.The HSU had also been seeking to freeze Jackson’s assets.
Barrister James Johnson, acting for Jackson’s former lawyer and her partner Michael Lawler, told the court on Monday that “events had occurred over the weekend involving the bankruptcy of Ms Jackson”.Barrister James Johnson, acting for Jackson’s former lawyer and her partner Michael Lawler, told the court on Monday that “events had occurred over the weekend involving the bankruptcy of Ms Jackson”.
“She is, as of today ... bankrupt,” Johnson said. Jackson had no available assets, he said, and the court was told Jackson had engaged a trustee.
Justice Richard Tracey asked whether Jackson had appeared in the Sydney court, which was linked to Melbourne via video for the hearing, but a court official reported that she hadn’t.
Barrister for HSU, Mark Irving, said he would need to consult with the union about its position on the hearing going forward.
In a hearing last week, the court was told Jackson didn’t have any assets left and was running out of money to pay her legal fees.
Lawler said moves to seize her assets would hurt him because he’s paying most of her bills.
The union’s lawyers had argued for her assets to be frozen because they alleged Jackson was attempting to transfer her property to her partner to thwart the union’s lawsuit.