Clive Palmer offered to withdraw border challenge, WA Government says

Mining billionaire Clive Palmer offered to withdraw his challenge to Western Australia's coronavirus hard border if the state agreed to move proceedings in a separate dispute — his bid for billions of dollars in damages relating to his mining interests in the state, WA's Attorney-General says.

Key points:

• A letter tabled in Parliament links Mr Palmer's two legal challenges
• Mr Palmer indicated he may withdraw his challenge against WA's border
• But it would depend on his royalties case being heard in another state

The Queensland mining billionaire claims unreasonable decisions made by the WA Government regarding his iron ore interests in the Pilbara has caused him enormous financial loss — the damages for which have been estimated at $30 billion by the Attorney-General.

Mr Palmer has also launched a High Court challenge to force WA to open its hard border closure.

The State Government tabled a letter in Parliament, revealing Mr Palmer's firm Mineralogy said if the Government agreed to shift an arbitration hearing relating to its $30 billion claim to another state, it could be "agreeable to withdraw[ing] its High Court challenge".

"Mineralogy's High Court case has caused considerable stress in the community when it became apparent last week that it may be successful," the letter read.

"If the State can agree for the arbitration hearing being held in Canberra, Mineralogy could be agreeable to withdraw its High Court challenge on that basis with each party to pay their own costs."

Quigley claims Palmer wants to 'plunder' WA

Mr Quigley told question time in Parliament the letter from Mineralogy exposed Mr Palmer as a "fraudster".

"What is this document saying?," Mr Quigley asked.

"It is saying, 'I don't care about the state border closure'.

"'What I care about is getting my arbitrator, and the legal team and the experts into Perth to plunder Western Australia for $30 billion in an arbitration'.

"'And if I can't do that, I'll agree to withdraw my High Court challenge, to leave the border closed, if you Western Australia, agree to shift the venue over to a jurisdiction in the eastern states of Mr Palmer's choosing'.

"Well, what a liar he's exposed himself to be because he's been publishing these ads, Mr Speaker, he's been publishing these ads which include statements like this: 'My major concern is for the health of the community. I have a strong commitment to Western Australia'.

"He hasn't got any commitment. He has a visceral hatred for Western Australia.

"His only interest is getting across that border with his legal team and experts and arbitrator to plunder $30 billion from Western Australian taxpayers."

Palmer says legislation is an 'act of intimidation'

The State Government last night introduced urgent legislation to terminate Mr Palmer's legal challenge.

That is set to pass through Parliament with the support of the Opposition.

The Queensland businessman claims unreasonable decisions made by the Government regarding his iron ore interests in the Pilbara have caused him enormous financial loss.

The Government's legislation aims to terminate Mr Palmer's arbitration claim and will be debated in the Lower House.

Mr Palmer says he will take the Government to the High Court if the extraordinary legislation is passed.

Mr Palmer also warned business investment in the state would dry up if Parliament passed the law, while casting doubt over the size of his claim against the Government over the Balmoral South iron ore project.

Mr Palmer took High Court action against the Government over its hard border closure, arguing that it is unconstitutional.

In a tweet on Wednesday morning, Mr Palmer questioned the timing of the Government's legislation, given his recent High Court challenge.

"The actions of the WA State Government to pass legislation against me is an act of intimidation because I exercised my right to challenge a decision that is unconstitutional," he said.

"The legislation they have passed to try and stop me and my company has been done a week after the Premier declared war on me and declared me an enemy of the State."

Law expert says 'separation of powers' may pose an issue

Murdoch University constitutional law lecturer Lorraine Finlay believes while there is a major risk to WA if it loses the legal dispute, the Government's move to terminate Mr Palmer's legal challenge is also a concern.

"What the Government is effectively trying to do is legislate itself out of a legal dispute and so there are questions then about the separation of powers, the role of the judiciary," Ms Finlay said.

"It risks creating sovereign risk in relation to other state agreements and other investments in this state and it also risks undermining the rule of law in a way that could potentially lead to a challenge in the High Court, so what we see at the end of this is the people of WA really are the losers because either way you turn there is a huge risk to them.

"The fact it's been brought on so quickly with so little consultation does suggest that it's something that needs very close scrutiny."