Liberal leader 'went into bat' against expelled MP

John Pesutto (left) and Dr Matthew Collins KC (file image)
John Pesutto is alleged to have circulated a dossier on Moira Deeming in a move to expel her. -AAP Image

Victorian Liberal leader John Pesutto went into bat against expelled MP Moira Deeming and was "derogatory" about her following a rally gatecrashed by neo-Nazis, a court has been told.

The high-stakes defamation battle between the party leader and his former colleague is set to draw to a close this week, with the case returning to the Federal Court in Melbourne for final summaries.

Mrs Deeming launched action against Mr Pesutto over his comments in a media release, press conference and interviews about her attending a Let Women Speak rally in March 2023 outside state parliament, which was gatecrashed by a group of men who did the Nazi salute.

Moira Deeming's lawyer Sue Chrysanthou SC argued public interest and opinion defences do not apply. (James Ross/AAP PHOTOS)

The MP previously told the court men in black who performed the gesture had nothing to do with her rally and she did not see it until they were escorted away by police.

Mrs Deeming's lawyer Sue Chrysanthou SC argued both public interest and opinion defences do not apply in this case.

"The whole point of the publications was to be derogatory," the barrister told the court on Tuesday.

She argued Mr Pesutto circulated a dossier of information on her client as part a move to expel her from the party for "his own political expediency", accusing him of giving "dishonest evidence" about why it was sent to hundreds of journalists.

It was clear, she argued, by his tone and demeanour that he was "going into bat" for himself against Mrs Deeming and pushed back when interviewers raised points favourable towards her.

The top defamation barrister said the meaning of his comments, the harm caused and definition of a Nazi sympathiser are in dispute between the two parties.

Mr Pesutto and Mrs Deeming sat just metres from each other during the initial three-week trial and the Liberal leader made a brief appearance in court on Tuesday before leaving.

His barrister Matthew Collins KC is yet to begin his closing arguments, but the opposition leader has previously denied wrongdoing.

The high-profile court case has already had political implications for Mr Pesutto, who earlier in October stared down a possible leadership coup.

Judgment in the case is expected before the end of 2024, with predictions his leadership hinges on the outcome.