Embattled former Senator Rod Culleton has lost his appeal in the Federal Court in Perth over his bankruptcy conviction and is barred from serving in the Australian Senate.

The West Australian was deemed an undischarged bankrupt in December of last year after refusing to comply with a court order to repay $205,536 to Westfarmers director Dick Lester.



Mr Culleton’s debt has since increased to $280,000 and relates to unpaid rent around a 2009 property deal.

It was the former One Nation senator's second court case for the day, after the High Court in Canberra unanimously decided on Friday his larceny conviction meant he was unfit under the constitution to run in the 2016 election.

While the High Court ordered the Commonwealth to foot the legal bill on Friday, the Federal Court in Perth dismissed his appeal and ordered him to pay costs.

Related Culleton ineligible to be elected: court

The constitution states anyone convicted of an offence punishable by one year or more in prison is ineligible for election, and although Mr Culleton's larceny charge for stealing a car key in 2014 was later annulled, it was present a the time of the July 2 poll.

Margaret Menzel who served loyally as Mr Culleton's Chief of Staff fronted the media in Perth after the appeal was dismissed.

"Senator Culleton has now accepted the decision of the court as he has always said he would do," Ms Menzel said.

The staffer said the former senator would like to transition his replacement, likely his brother-in-law Peter Georgiou, before possibly writing a book about his time in politics.