By Aaron Bunch in Perth

Former political staffer Brittany Higgins has been bankrupted by her former boss, bringing the former politician one step closer to discovering where the former staffer’s $2.4 million compensation payout went.

Ex-Liberal senator Linda Reynolds launched bankruptcy proceedings in October against Ms Higgins after she successfully sued her for defamation.

Federal Court judge Michael Feutrill on Friday made orders to sequestrate Ms Higgins’ estate under the Bankruptcy Act after a series of minor setbacks and technical difficulties that slowed the process.

The date of the act of bankruptcy was backdated to October 8.

“(The estate will) be handed over to the trustee of the bankruptcy who will take control of her affairs and deal with the creditors in due course,” Ms Reynolds’ lawyer Rachel Ross told reporters outside the court in Perth.

Ms Reynolds’ high-profile defamation victory over Ms Higgins concerned a series of social media posts the former defence minister believed damaged her reputation.

Ms Reynolds was awarded damages of $315,000 plus $26,109 interest after Western Australia’s Supreme Court in August found some of the posts were defamatory.

Ms Higgins was also ordered to pay 80 per cent of her former boss’ legal costs, which are estimated to be more than $1 million.

Ms Reynolds’ lawyer, Martin Bennett, previously said the bankruptcy would allow Ms Reynolds to find out how much of Ms Higgins’ commonwealth settlement remained as she attempted to recoup her legal costs for the defamation case.

Ms Higgins apologised to Ms Reynolds after the former defence minister emerged victorious from the duo’s high-profile five-week defamation trial.

Justice Paul Tottle found Ms Higgins’ social media posts carried an array of imputations.

They included that Ms Reynolds engaged in a campaign of harassment against Ms Higgins, mishandled her rape allegation and engaged in questionable conduct during Bruce Lehrmann’s aborted criminal trial for rape.

The 360-page judgment made factual findings about the events involving Ms Reynolds and Ms Higgins, including her alleged 2019 rape and the events in the years after it.

Ms Higgins made 26 false or misleading statements in media interviews after her alleged sexual assault, the judgment said.

She alleges former co-worker Lehrmann raped her in the senator’s ministerial suite.

A Federal Court judge overseeing a defamation case launched by Lehrmann against Network Ten found Ms Higgins was, on the balance of probabilities, raped by her former co-worker in the office.

Lehrmann has lost an appeal against that finding but has flagged taking the case to the High Court.

He denies the rape allegation and his criminal trial was derailed by juror misconduct.

Ms Higgins’ husband David Sharaz was also served with a bankruptcy notice by Ms Reynolds and is expected to declare bankruptcy.

He was also found to have defamed the former politician and was ordered to pay $85,000 in damages plus interest and costs.