Katter accuses coalition of ad 'lies' KATTER'S Australian Party wants to take legal action against the coalition over "deceptive" election campaign ads. Leader Bob Katter says the ads incorrectly claim the fledging party has done widespread preference deals with Labor. He says the ads have been effective and believes his party is losing votes. It's too close to the election to launch legal action to ban the ads but Mr Katter wants to make the coalition pay. "Katter's Australian Party has resolved to take legal action to prosecute the LNP for misleading and deceptive and quite frankly lying assertions," he told AAP on Monday. We want to prosecute them for damages and breaching the integrity of the democratic process. Mr Katter says his party has preferenced the Liberal Party in five states in the Senate, and Labor in just one. He says that deal was only done to avoid the Australian Greens winning a Senate seat. Mr Katter says the coalition is trying to erode his party's potential power in the Senate and remove any protections the party could offer against controversial legislation. They want to remove those protections. Why else would they want to go against a little tiny party like us?," he said. Katter's Australian Party (KAP) also complained to the Australian Electoral Commission last week about a coalition billboard that says: "A vote for Katter is a vote for Labor." The coalition has challenged Mr Katter to take legal action now if he's serious, and says its TV ad campaign is based on facts. A coalition spokesman said the Katter party was directing its preferences to Labor in the Senate and Lower House seats throughout Queensland. It is misleading for Bob Katter to suggest otherwise. If Mr Katter genuinely believed he had a case to argue, he could bring the matter before a court this afternoon.