Senator Jacinta Nampijinpa Price says she could face bankruptcy and be forced out of Federal Parliament if she loses a defamation case brought by Central Land Council chief executive Lesley Turner.
The Warlpiri senator is being sued over a media release she issued in July last year, in which she claimed a vote of no confidence had been moved against Mr Turner. The statement quoted then-CLC chair Matthew Palmer, who said a "majority of Central Land Council members showed their support for the dismissal of the CEO due to unprofessional conduct".
The CLC denied such a motion occurred, stating the Tennant Creek meeting instead saw Mr Palmer replaced as chair by Warren Williams after he "lost the confidence of the council".
In the media release, Senator Price again quoted Mr Palmer, claiming there was "majority support for change of direction and leadership" at the CLC.
The story was published in the NT News, which later removed two articles and issued an apology to Mr Turner.
In an email to supporters, Senator Price said she issued the statement in "good faith based on information provided to me by the then Chairman of the CLC".
"I was really hoping it wouldn't come to this," she said.
"I was elected to represent my constituents and to raise issues of concern that impact on their lives. I take this responsibility very seriously and have always acted in good faith and with the paramount intention of speaking up for those who cannot.
"If it goes well for them – defamation cases can go either way, after all – they might even bankrupt me and cost me my seat in Parliament."
Under section 44 of the Constitution, bankrupt MPs are ineligible from sitting in Parliament. Earlier this year, former Victorian Liberal leader John Pesutto narrowly avoided being ousted from state parliament after he lost a defamation battle with Liberal MP Moira Deeming.
In his claim, Mr Turner alleges Senator Price "seriously injured [his] character and personal and professional reputation" and acted "improperly, unjustifiably or lacking in bona fides". He also argues she failed to verify the accuracy of the allegations before publication.
Senator Price has dropped her defences of truth and honest opinion and will rely solely on the defence of qualified privilege.
According to The Sydney Morning Herald, her court filing argues she was acting on information from the land council's then-chair and raising "issues of significant and immediate public interest" in her role as shadow minister for Indigenous Australians and an NT Senator. Her defence also alleges deficiencies in the CLC's fraud risk management.
The case is scheduled for trial in October, after mediation failed.
"Please think of me, but know that I'll be walking into that courtroom proudly with my head held high," she said in a statement.
"Why? Because I'm doing it for you."
Senator Price, who left the National Party party room to sit with the Liberals earlier this year and briefly contested the party's deputy leadership, was recently demoted from the Opposition front bench.
Her stances on key Indigenous issues — including opposition to Treaties, Welcome to Country ceremonies and the Voice — have put her at odds with several major Indigenous organisations.
Last year, National Indigenous Times revealed she had attempted to gain parliamentary access to confidential CLC meeting minutes — an act a Labor senator labelled "completely inappropriate" and a "concerning use of Senate procedure".
