Chinese billionaire Huang Xiangmo's is known to have donated millions of dollars to both Labor and the Coalition.
The former top lobbyist for Beijing had his permanent residency revoked and his application to become an Australian citizen denied while he is overseas.
Mr Huang is fighting to return to his $13 million Sydney mansion - to which Australian officials say he may never return.
Senior government sources have confirmed that the Home Affairs Department denied Mr Huang a passport for a range of reasons, including character grounds.
The decision to revoke Mr Huang's right to live in Australia is the first enforcement action to be made by Canberra against a suspected agent of the Chinese Communist Party.
