Former Carlton boss Luke Sayers apologises to ex-wife Cate as explosive defamation showdown over 'd*** pic' scandal is dramatically settled

Former Carlton AFL club president Luke Sayers has settled a bitter defamation court battle and issued an unreserved apology to his ex-wife Cate over the 'd*** pic' scandal that tore their lives apart.

The pair were due to face off in an explosive showdown in Victoria's Supreme Court on Friday before they reached an eleventh-hour settlement. 

Sayers denied that he was responsible for a post on his X account on January 8 last year that included a picture of a penis and tagged a female executive at health insurer Bupa, a Carlton sponsor.

His ex-wife Cate accused Sayers of defaming her, breaching confidence, and committing a 'common law tort of invasion of privacy' through the publication of a statutory declaration when he tried to clear his name over the post.

She also that the claimed the AFL colluded with the businessman and Carlton to exonerate him from allegations related to the photograph.

Sayers' lawyer read out an apology letter on behalf of his client following a brief court hearing on Friday after the pair reached a settlement. 

'I acknowledge the extreme hurt and harm caused to Cate Sayers [in suggesting she may have posted the 'd*** pic'],' the apology letter said.

'I accept that she did not do this. To the extent that I may have suggested otherwise - I apologise unreservedly to her.'

The judge dismissed the proceedings and commended the parties for reaching the settlement, the terms of which were not discussed in open court.

'All litigation involves time, expense and risk,' Justice Andrew Watson said.

'There was every reason to expect this proceeding would be no different.'

Flanked by her lawyer Rebekah Giles, Ms Sayers acknowledged her ex-husband's apology outside court.

'I acknowledge Luke's public apology to me today, including his clear statement that I was not responsible for posting an explicit image on his X account,' she said.

'This brings to a close a painful and difficult chapter that began with extraordinary claims being made about me that were accepted without challenge by powerful institutions and powerful people.

'I commenced these proceedings to establish the truth clearly and finally. With Luke's apology today, I feel I have achieved what I set out to do.'

Ms Sayers also thanked the supporters who had reached out to her during the saga.

'I hope today's outcome gives some strength to you all, and to others who may find themselves subjected to circumstances where they too have to stand up and insist that the truth be recognised. I now intend to move forward with my life with dignity.'

Ms Sayers added that she was 'pleased' with the settlement and wanted to move forward with her life

She did not confirm whether the settlement included a financial component.

In May, Sayers applied to have the case transferred to the Federal Circuit and Family Court of Australia where the matter would be heard in private.

But Justice Watson rejected the application in June, finding the Supreme Court was the more appropriate venue for a defamation claim.

Sayers chaired the Carlton board from 2021 to 2025.

Before that, he headed consultancy firm PwC Australia between 2012 and 2020.