Palmer wins $12m mining fraud case

AAP
Federal MP Clive Palmer has won a $12m fraud case against a Chinese mining company.

Federal MP Clive Palmer says the way he used money at the centre of a legal fraud battle with a Chinese government-owned mining company is nobody's business now that he has won the case.

The Supreme Court in Brisbane on Monday dismissed claims by two subsidiaries of CITIC Pacific that Mr Palmer misappropriated $12.167 million from a fund set up to manage a port connected to the Sino Iron project in Western Australia's Pilbara region.

Mr Palmer paid some of the money in 2013 from a bank account held by his company Mineralogy, to another of his companies, Cosmo Developments.

He paid the rest to Media Circus, which handled the advertising for the Palmer United Party's federal election campaign.

CITIC subsidiaries Sino Iron and Korean Steel alleged Mr Palmer's use of the money was a breach of trust.

However Justice David Jackson ruled the money was not part of a trust, but was owned by Mr Palmer.

He dismissed the claim.

Mr Palmer said he was thrilled with the win, and that the debate about how he had spent the money was simply muckraking.

"The court decided quite clearly that the money in a bank account, signed by me, was our money," he told the ABC.

"All the rest of this other hypothetical stuff (about) what I did with the money? That's my business.

"People might not like the fact that I donated money to the Palmer United Party but it's my money (and) I'll do what I like with it."

Mr Palmer is suing CITIC Pacific in Western Australia for around $500 million over allegations it exported iron ore to China that it has not paid for.

That case will go to trial at a later date.