Besieged Labor MP’s alleged debts mount under fresh legal threat

November 5, 2026 — 9:44pm

Riverton MP Jagadish Krishnan is facing another demand for more than $1 million, this time from a Perth-headquartered mining and construction conglomerate that also owns Indian Rugby Premier League franchise the Chennai Bulls.

AvidSys, the Indian-Australian-owned Guatam family business, sent Krishnan a letter of demand in June, seeking $1.93 million.

The allegedly unpaid money relates to the proposed sale of the GP network Krishnan founded, Spectrum Health Group, to AvidSys, which fell through last year.

AvidSys’ parent company Avid Global Holdings alleged Krishnan’s company promised to cover the legal and professional costs associated with the sale.

The demand adds to the financial pressures the WA Labor MP is already facing, after WAtoday and 9News revealed he was being sued in a New Jersey court for $1.2 million over an allegedly unpaid loan secured in 2024.

Krishnan, known under his nickname Dr Jags, also used his family home in Mosman Park, 18 kilometres from the electorate he represents in Parliament, to secure a $330,000 loan with an interest rate of 3.5 per cent a month, Landgate documents show.

A June 15 letter from Clayton Utz lawyers on behalf of Avid Global Holdings demanded $1,932,020.

“In or about late October 2025, you represented to our client that you would pay all of our client’s legal and other professional costs incurred by our client in connection with the Transaction,” it said.

“Since that time, you repeated the Representation to our client on a number of occasions in numerous telephone conversations.

“You knew or intended that our client would so act; and our client now suffers detriment because the assumption has not been fulfilled.

“It would be unjust for you to retain that benefit without making payment.”

That payment was demanded within five days of the date of the letter.

AvidSys founding director and chairman Ansh Gautam declined to comment but confirmed the letter had been sent.

Krishnan said he’d made all financial declarations as required by parliament, declaring the AvidSys issue a “private matter” he was trying to resolve.

“My legal representatives have sought more information from Avid Global Holdings regarding their initial correspondence sent in June, but have not received a response since June,” he said.

Krishnan resigned from all his directorships ahead of entering politics. He told 9News last year that he had “been out of business for almost four years”.

Before the sale of Spectrum Health to AvidSys fell through last year, the latter company issued a press release heralding the deal, while declaring Krishnan would stay on as an advisor.

“Following the acquisition by AvidSys Group, Dr Jags Krishnan will continue to support Avid Health and drive the integration and future growth of the business” the statement said.

The intrigue in the MP’s financial dealings intensified after this masthead found he had spent almost his entire parliamentary salary on electorate expenses.

Premier Roger Cook said he had spoken to Krishnan about his disputes.

“Since my return from my trade mission to China, I have spoken with Dr Krishnan, and he advised these are private commercial legal matters that he will continue to defend,” Cook said.

Spectrum Health Group is understood to be in the process of being sold in a deal believed to be worth $47.5 million to rival GP network Family Doctor, owned by Melbourne businessman Rodney Aziz.

“All dealings will be closed on full settlement, which is due at the end of the month,” Krishnan said.

He refused to detail how much money he would make from the sale, citing commercial confidence.

The American businessman suing Krishnan over the alleged $1 million unpaid loan also claimed he spent thousands on the politician’s accommodation, a limousine trip and an evening Hudson River cruise past the famous Statue of Liberty.

Cook said he had reminded Dr Krishnan of the standards expected of members of parliament around the disclosure of gifts.

Krishnan has maintained he has met his declaration obligations as an MP.

Deputy Premier Rita Saffioti backed Krishnan on Thursday.

“He’s been an excellent member for Riverton, working for his community, delivering for his community, and he’ll continue to be a very good member for Riverton,” she said.

Hamish Hastie is WAtoday's state political reporter and the winner of five WA Media Awards, including the 2023 Beck Prize for best political journalism.Connect via X or email.

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