The internal conflict within Victoria’s Liberal Party has entered a new, highly public phase, with Opposition Leader Brad Battin expected to testify in a court case over the controversial $1.55 million rescue loan to former party leader John Pesutto. The trial is scheduled for 16 March 2026, during a critical election year, and is expected to last at least five days.
The loan was provided by the party’s investment arm, Vapold, to protect Pesutto from bankruptcy due to his $2.3 million legal debt to fellow MP Moira Deeming. Bankruptcy would have triggered his eviction from parliament and a costly Hawthorn by-election. The decision has caused intense internal disputes and raised serious questions about governance and transparency within the party.
Senior Liberal sources warn that the case could derail the party’s efforts to recover from low polling and seriously contest the upcoming election. The trial is expected to attract significant public attention and could negatively impact the party’s image with voters.
Battin’s lawyers argued that witness testimony was unnecessary, as evidence could be submitted via written statements. However, Justice Andrew Keogh emphasized that evidence must be given in person.
Meanwhile, RedBridge polling shows the Jacinta Allan government has extended its lead, with the Liberal Party’s primary vote falling to 37%, down six points since Battin took leadership in December. These developments highlight the critical and precarious position of the opposition, as the party struggles with prolonged internal conflict that may define its electoral future.