Financial backer of embattled MP Moira Deeming requests loan repayment

Moira Deeming seeks to withdraw $1.55 million to repay her financial backer Thu 16 Jul 2026 at 4:36pm In short: Victorian Liberal MP Moira Deeming has sought to withdraw $1.55 million owed to her following her Federal Court win over former leader John Pesutto. The ABC understands a financial backer who bankrolled her court action has requested the money be repaid. What's next? The state executive of the Liberal Party will meet next Thursday to determine Mrs Deeming's political future. Victorian Liberal MP Moira Deeming is embroiled in further court action, this time over funds she is owed from her successful defamation action so that she can repay the businessman who bankrolled her case. Mrs Deeming gave the party notice that she was withdrawing the $1.55 million she is owed, but which has been held in a trust account while the Liberal loan to spare former opposition leader John Pesutto from bankruptcy remains before the Supreme Court. But the breakaway group of Liberal leaders challenging the party's loan has sought an injunction to stop the cash being released, which will be heard this month. Several sources told the ABC that lawyers for NSW-based property developer Hilton Grugeon had issued Mrs Deeming a request for the money to be repaid. Mr Grugeon continues to support Mrs Deeming, but the sources said his letter could be the beginning of bankruptcy proceedings against her. Mrs Deeming was due back in the Supreme Court for a separate matter against the Liberal Party on Friday but says she is withdrawing that case. She was attempting to stop the state executive from revoking her preselection. The Liberal Party plans to disendorse her after she failed to apologise to fellow MP and former leader Matthew Guy. She had accused Mr Guy of assaulting her but Victoria Police detected no offence after investigating CCTV footage of the event. Opposition Leader Jess Wilson refused on Thursday to comment on Mrs Deeming's decision to withdraw the injunction action. "My reaction is this is still before the courts,'' Ms Wilson told reporters. She also refused to be drawn on whether Mrs Deeming would be disendorsed by the party executive when it eventually meets. Ms Wilson is a member of the Liberal Party's Victorian executive, which is due to meet next Thursday. The financial fallout from Federal Court win Mr Grugeon bankrolled Mrs Deeming's successful defamation case against Mr Pesutto, who was ordered to pay $2.3 million of her legal costs after the Federal Court found he falsely implied she associated with neo-Nazis. The Liberal Party last year agreed to loan him $1.55 million to ensure he could pay her fees, sparing Mr Pesutto from bankruptcy and a by-election in his marginal seat of Hawthorn. Six current and former members of the Liberal state executive challenged the loan in the Supreme Court, arguing it breached the party's constitution. The loan is sitting in a trust account, held by Mrs Deeming's lawyers, while it remains before the courts. This means Mr Grugeon is yet to be repaid and Mr Pesutto's debts are technically yet to be settled. Mrs Deeming this week sent a 12-page statement to the state executive, in a last-ditch plea to retain her candidacy for the November election. Late on Wednesday night she said providing this mediation proposal allowed her to end the Supreme Court action. In a cover letter to her statement to the state executive, Mrs Deeming wrote: "I am already facing bankruptcy for over $1.55 million in legal costs that a former Liberal leader was ordered by the Federal Court to pay to me". "The injunction has achieved exactly what it intended to achieve," Mrs Deeming wrote in a statement posted to social media. "The state executive, having all the evidence before them, can now decide whether or not to pursue mediation or reconvene to disendorse me." The Liberal Party is not interested in entertaining her mediation effort. Deeming refuses to apologise for assault allegation In her statement to the party's state executive, Mrs Deeming continued to allege she was "grabbed, held and pulled with force" by Mr Guy which she said caused "pain and distress". Vision of the interaction appeared to show he placed his hand on her shoulder during a conversation at a crowded Macedonian community function in May. She had previously alleged Mr Guy put her in a headlock, reporting the incident to Ms Wilson's office and then to Victoria Police. Mr Guy always maintained his innocence and demanded an apology, which was backed in by Ms Wilson. Mrs Deeming said she would not apologise, despite conceding she misunderstood the meaning of the word headlock, because she made the allegation in good faith. The infighting has been a major distraction for the opposition, which has embarked on a campaign to visit all 88 seats in Victoria during parliament's winter break. Mr Grugeon and Mrs Deeming declined to comment, as did members of the state executive contacted by the ABC on Thursday.