Lehrmann 'on warpath' before bender, Seven 'babysitter' alleges

Taylor Auerbach, whose explosive evidence had led to the reopening of Mr Lehrmann's defamation case, described himself as a "babysitter, minder" for the man during negotiations for the Spotlight program.

Seven has found itself in the firing line due to Mr Auerbach's allegations, including that the television network reimbursed Mr Lehrmann for the alleged activities in efforts to ink a deal.

The Federal Court reconvened on Thursday, when Justice Lee was originally slated to deliver a judgment in the civil suit brought forward by Mr Lehrmann. That decision has been delayed indefinitely.

The former Liberal staffer is suing Network Ten and journalist Lisa Wilkinson for defamation over a 2021 The Project interview airing Brittany Higgins' Parliament House rape allegation.

The judge granted Ten's last-minute request to reopen its defence case and offer up fresh evidence from Mr Auerbach.

Mr Auerbach affirmed the claims he made in multiple affidavits previously published to the court website.

He recounted going to the Sydney Meriton hotel with Mr Lehrmann following a dinner at Franca in Potts Point on January 5, 2023. During that dinner, the court heard, Mr Lehrmann purchased a bag of cocaine.

Mr Auerbach's role, he said, was "building up a rapport, trying to build trust and some sort of relationship with a prospective interview subject".

Back at the hotel, the witness claimed Mr Lehrmann laid out the drug on a plate.

"And then started talking to me about a prospective Spotlight story and his desire to order prostitutes to the Meriton that night and began Googling a series of websites to try and make that happen," he said.

Mr Auerbach said during that conversation, Mr Lehrmann agreed to do the interview.

"As long as we didn't ask him what happened on the night in Canberra," he said.

The former producer described himself as being taken aback and "it jumped out at me as quite concerning".

He said he told Mr Lehrmann the program would have to ask hard questions about the alleged assault.

Mr Auerbach then said he was worried the night would mirror one said to have taken place in November 2022, when the then-Seven employee claims he drunkenly spent thousands of company dollars on massages for he and Mr Lehrmann without permission.

He described Mr Lehrmann's alleged behaviour as "no anomaly".

Mr Auerbach claimed Seven refunded Mr Lehrmann for his time in Sydney through "per diems".

Under cross-examination, he said he only saw the issued invoice for the daily expense claims covering that time but not an actual payment receipt to Mr Lehrmann.

The court heard Mr Auerbach tendered his resignation following the night in November 2022, on the "worst morning of my life".

"I've let you down, I've let the show down and I am devastated," Matthew Richardson SC, representing Mr Lehrmann, said was written in the resignation letter.

The barrister told the court Mr Auerbach's letter cited the company card expenses "had nothing to do with work".

Mr Auerbach responded: "I was trying to given Seven, and in some ways Mr Lehrmann, protection."

But instead of accepting Mr Auerbach's resignation, the court heard Seven in fact promoted the producer the following week.

"And a pay rise," he said.

Mr Auerbach denied trying to purposefully embarrass Mr Lehrmann or having an axe to grind against Seven. However, he did openly admit hating former Spotlight colleague and boss Steve Jackson.

The court watched a video of Mr Auerbach destroying Mr Jackson's golf club, which the witness claimed was a parody.

"I want to suggest to you, Mr Auerbach, that you are here today to do as much damage to your former employer, former colleagues, as you possibly can," Mr Richardson said.

Mr Auerbach replied: "Strongly disagree."

Many of Mr Auerbach's allegations against Mr Lehrmann, which he denies, have been widely reported this week and were tested in the witness box.

The former Spotlight producer has accused Mr Lehrmann of lying from the witness box in last year's civil trial about his dealings with Seven ahead of the exclusive interviews.

Mr Auerbach alleges Mr Lehrmann leaked untendered evidence from his ACT criminal trial, including thousands of Ms Higgins' personal text messages and a pre-interview recording with Ms Wilkinson, to Seven.

If true, Mr Lehrmann would have breached an implied court undertaking not to use the evidence outside of legal proceedings.

Mr Auerbach also claims Seven forked out thousands of dollars worth of massages, dinners, accommodation, and a golf game to help secure the media exclusivity deal.

Mr Lehrmann previously told the court he has only been compensated by Seven with 12 months of rent, amounting to more than $100,000.

Ten successfully argued the allegations, if proven, would be key in the court's consideration of Mr Lehrmann's credit as a witness, to the question of abuse of process, and to possible damages.

Earlier on Thursday, Seven Network was ordered to explain why it finally answered two subpoenas about its dealings with Mr Lehrmann, months after it had failed to answer the same call from Ten's legal team.

The subpoenas requested any communication with Mr Lehrmann ahead of, and regarding any payment for, the exclusive television interviews.

"The consequences of non-compliance are well known to anyone," Justice Michael Lee said.

"Is there proposed to be any explanation why it is that additional documents have been produced or is there some obvious explanation that is not evident to me?"

Barrister David Thomas, representing Seven, said the network had not intended to explain itself.

"Further searches have been undertaken in the past two days with the benefit of, with the information Mr Auerbach provided in his affidavit," he said.

Matthew Collins KC, representing Ten, told the court the produced documents, said to range between November 2022 and June 2023, were not as enlightening as hoped.

"There is so far as we can see ... one document evidencing a communication between Mr Lehrmann, the star of the exclusive interview, over a six- or seven-month preparation period ... and officers, employees or contractors at Seven," he said.

"That beggars belief. One can only imagine what the explanation might be, but your honour might well expect an explanation to be provided in respect of that."

In a sworn affidavit ordered by Justice Lee, the court heard Seven West executive Bruce McWilliam said limited searches were made last year due to an "untested assurance" from Spotlight executive producer Mark Llewellyn.

"I had no reason to doubt his indication that any written or electronic communication with Mr Lehrmann existed," Dr Collins said, quoting the executive's affidavit.

The barrister said no extensive searches being done at the time, to answer the subpoena, was "regrettable".

Dr Collins also noted Seven had not at the time searched personal accounts, social media and applications like Signal, where the Spotlight team are said to have mainly communicated.

The issue is now being kicked down the road, with Seven's lawyer excused.

The civil case brought forward by Mr Lehrmann was heard in November and December of last year during a month-long trial.

While the television interview the man is suing over did not name him, he claims being identified and defamed.

In their defence, Ten and Wilkinson have been aiming to prove the rape allegation made by Ms Higgins against her former Liberal staffer colleague is substantially true.

MORE DEFAMATION TRIAL COVERAGE:

The network and the high-profile journalist have also argued they reported the allegation reasonably, professionally, and did so in the public interest.

Mr Lehrmann has always denied raping Ms Higgins in the ministerial office of Senator Linda Reynolds in the early hours of March 23, 2019.

His criminal trial was aborted due to juror misconduct and the charge of sexual intercourse without consent levelled at him later dropped over concerns for Ms Higgins' mental health.

No findings have been made against him.

The trial continues on Friday.