The man responsible for one of Australia’s worst-ever mass shootings has lost his latest legal fight for compensation over his claims of abuse during a short stint in the army.

Julian Knight, 57, shot dead seven people and injured a further 19 on August 9, 1987, in what would come to be known as the Hoddle Street massacre.

The gunman was sentenced to life imprisonment with a non-parole period of 27 years after pleading guilty the following year to seven counts of murder and 46 counts of attempted murder.

In April 2014, just a month before he would have been eligible for parole, the Victorian government introduced new legislation specifically for Knight, barring him from being freed.

The law states, among other conditions, that Knight could only be paroled if he is in imminent danger of

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