Controversial former Auburn deputy mayor Salim Mehajer has been declared bankrupt by a Federal Circuit Court judge, ratcheting up the pressure on the property developer as he faces a string of criminal charges.

The liquidator appointed to Mehajer's failed company, SM Project Developments, served a bankruptcy notice on Mehajer in September last year and kicked off bankruptcy proceedings in November over a $200,000 debt.

A range of other creditors are chasing Mehajer for payments and the total bill exceeds $1 million.

The liquidator's petition to bankrupt Mehajer was supported by the Australian Taxation Office and Greenacre-based company Prime Marble & Granite, which helped construct what NSW District Court Judge Judith Gibson has previously described as Mehajer's "marble palace" in Lidcombe.