Federal Court rules Health Services Union can prosecute Kathy...

Federal Court rules Health Services Union can prosecute Kathy Jackson despite bankruptcy

By court reporter Peta Carlyon
Updated about an hour ago
PHOTO: Ms Jackson was not in the court for today's decision. (AAP: Joe Sabljak)
RELATED STORY: Ex-HSU boss Kathy Jackson declares bankruptcy
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The Federal Court has ruled the Health Services Union can continue to prosecute the case against former national secretary Kathy Jackson despite her bankruptcy declaration earlier this week.
Her trial is scheduled to go ahead next Tuesday and she has denied any wrongdoing.
Ms Jackson was not in the court for the decision.
The union has accused Ms Jackson of misappropriating more than $1.3 million in funds and is suing her for $2.5 million.
Ms Jackson has been fighting the case's continuation, declaring last year she was too mentally unwell for it to proceed.
She then declared bankruptcy earlier this week as the trial was due to get underway.
Lawyers for her receiver appeared in court in Sydney today and did not oppose the trial continuing.
More on this story:

• Kathy Jackson, former Health Services Union national secretary, declares bankruptcy
• Senior unions conspiring to destroy controversial HSU figure Kathy Jackson, court hears
• Kathy Jackson makes last-minute attempt to stop HSU civil case
• Craig Thomson trial: HSU whistleblower Kathy Jackson says union 'like a cult'