ClubsNSW has dropped criminal contempt charges against YouTuber Jordan Shanks over an interview with pokies whistleblower Troy Stolz.
The powerful clubs lobby initiated contempt proceedings against Shanks, known as Friendlyjordies, last year after he published an interview titled “The Legal way to take a life”, in which Stolz detailed his battle with cancer and the impact of his bitter federal court dispute with his former employer ClubsNSW.
The interview was published after the federal court ordered Stolz be restrained from speaking publicly about the case in any manner calculated to “intimidate, harass, or otherwise bring improper pressure” on ClubsNSW.
ClubsNSW alleged the Friendlyjordies interview with Stolz breached that order and pursued contempt proceedings against both. The case could have resulted in convictions and potential jail time had ClubsNSW been successful.
But ClubsNSW this week sought leave to withdraw the charges against both Shanks and Stolz. It had already signalled it would withdraw all legal action involving Stolz, but it was previously unclear whether it would continue the pursuit of Shanks over the Friendlyjordies video.
The Guardian has confirmed that the federal court on Thursday made orders withdrawing the charges against both Shanks and Stolz.
No orders were made as to legal costs, but Shanks claimed in a YouTube video on Wednesday that ClubsNSW would pay his legal bill.
The development is further evidence of a changed approach from ClubsNSW following the sacking of its chief executive Josh Landis two weeks ago.
The body has already settled with Stolz and withdrawn its federal court case alleging he breached ClubsNSW’s confidence by sharing internal documents, including to journalists, showing the sector’s widespread failure to comply with money laundering and counter-terrorism financing laws.
Its pursuit of Shanks and Stolz for contempt was initially shrouded in secrecy until September.
The federal court had made an interim suppression order in late July. The interim order was made without Shanks or Stolz having the opportunity to argue against it. The interim order was to last until the application for a more permanent suppression could be heard in full and decided upon by the court.
The court declined to continue the suppression order in September. When making his decision, the federal court justice David Yates said: “In expressing that conclusion, I do not wish to be taken as condoning, in any way, the publication by Mr Stolz and Mr Shanks-Markovina of the material about which ClubsNSW complains.”
ClubsNSW had wanted the contempt proceedings to be conducted in secret because they would give Shanks and Stolz the “opportunity to escalate attacks against ClubsNSW and its legal representatives”.
In a statement made last year, the lawyer Mark Davis, who is acting for Shanks and Stolz, criticised the pursuit of contempt charges.
“It is remarkable that a private company like ClubsNSW can initiate criminal proceedings and hope to keep those proceedings entirely secret,” he said in September.
“This is a very rare process where a private company effectively takes the place of a state prosecutor.”
ClubsNSW was approached for comment late Wednesday.
