Clive Palmer's brother-in-law claims he has had contact with the businessman's nephew Clive Mensink, and is "perfectly capable" of arranging communication between the pair.
Mr Mensink, who was the sole registered director of Queensland Nickel when it collapsed in 2016, has been overseas since June 2016 and has been summoned for questioning by liquidators.
The Federal Court issued arrest warrants last year when he failed to show up for public examinations into the collapse.
During a Federal Court hearing in Brisbane today, liquidators were critical that Mr Palmer's brother-in-law, George Sokolov, had the ability to communicate with Mr Mensink but did not tell them despite knowing they wanted to speak with him.
Mr Sokolov testified he was requested by Mr Palmer to get Mr Mensink to sign documents during a holiday to Bulgaria in April 2017.
"From at least the 4th of April 2017, Mr Clive Palmer has had the ability, if he chose to use it, to locate and pass messages to Mr Mensink?" Robert Newlinds SC, barrister for the special purpose liquidators asked.
"Yes," Mr Sokolov replied.
Mr Sokolov testified Mr Palmer also asked him in June this year to contact Mr Mensink again.
"It had been all over the press that Mr Mensink was in Bulgaria somewhere, no-one knew where he was, there was a warrant for his arrest issued and for all intents and purposes was a missing person," Mr Newlinds said.
"Both you and Mr Palmer and Mr Palmer's lawyer had been perfectly capable of contacting him and having correspondence with him at that very time?"
"Yes," Mr Sokolov replied.
Mr Palmer announced last week that he had appointed his nephew as a director of his Blue Star Lines company, which plans to build a replica Titanic.
Mr Sokolov told the Federal Court he did not know the current whereabouts of Mr Mensink, but thought he was still in Bulgaria.
Queensland Nickel went into liquidation in early 2016, with hundreds of millions of dollars in debts and about 800 job losses.
