Mineralogy has commenced proceedings in the Federal Court of Australia against the State of Western Australia for unconscionable conduct, it was revealed today.
Mr Palmer stated in Brisbane that Mineralogy’s claim was currently being amended to reflect the additional damages the company had suffered and would be served in the State within 21 days.
“The amount of damages is likely to exceed the damages claimed in the arbitration the State had previously agreed to but legislated to terminate,’’ Mr Palmer said.
“Under their unconstitutional Act, we cannot take a dispute to any court. The simple fact is the State of Western Australia does not have the power to control either the Federal or the High Court of Australia.
“What Western Australia has done for the first time in 60 years is to destroy the sanctity of State Agreements. McGowan has sent a big message to the international investment community not to invest in Western Australia.
“If you do, you can’t rely on the government to honour its own laws,’’ Mr Palmer said.
“The Government also sent a big message to rating agencies and lenders today to increase their interest rate on the State debt, considering the increased sovereign risk.
“Mark McGowan demonstrated the arbitration clause in Western Australian State Agreements is worthless if the State is going to lose the arbitration.
“What for? It will be for nothing when Mineralogy’s action in the Federal Court will result in a greater amount of damages and the High Court of Australia will, in my view, find the Act unconstitutional,’’ Mr Palmer said.
“Australians should now know what the Labor Party thinks of political free speech, how it has targeted me and my interests to stop me and our party in freely contesting elections.
“In future years we may see the Chinese Government-owned companies working to set aside State Agreements.
“Why do you think McGowan destroyed Freedom of Information, court proceedings and discovery provisions? Is it because he is hiding the role that the Chinese State-owned companies have played?” Mr Palmer said.