The court accepted the Queensland government’s argument that there was insufficient evidence and no living witnesses to allow it to proceed.
Conrad Yeatman’s case took five years to come to court and was considered the best hope of bringing the issue to trial.
It is now considered unlikely another will be lodged.
Reporter Stefan Armbruster speaks to Peggy Giakoumelos about the case
The stolen wages are money taken from Aboriginal and Torres Strait islander people taken from the 1890s up to the 1970s.
It is estimated at about five hundred million dollars in today's money and was held in trust accounts and much of it was never paid out to those earn it.
“The records are full of admissions of negligence, embezzlement and fraud and and even at the highest level, misuse of money and the government is saying it has no legal responsibility,” said stolen wages historian Dr Ros Kidd.
Government lawyers argued that in Mr Yeatman's case, the relevant documents had been lost and so nothing could be proved.
In 2002, the then Queensland Labor-government offered $50 million in take-it or leave-it payouts and claimants had to give up the right to further legal action.
Mr Yeatman refused to accept an amount offered in the hope of getting what he believed he is owed, estimated by his lawyers of up to $15,000.
Elders felt insulted and many did not apply.
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