He referred to himself as the Grand Mufti of Australia and New Zealand, although this title was not unanimously endorsed,[1][4] and was also described by some Muslims as honorary,[5] rather than substantial.

After a series of controversial statements on social issues, Hilaly retired from this position in June 2007 and was succeeded by Fehmi Naji.

Although the visa was temporary, it was routinely reissued until 1988 when then Minister for Immigration Chris Hurford attempted to have Hilaly deported for being against "Australian values".

[15] In May 2005 Australian contractor Douglas Wood was abducted by a militant group calling itself the Shura Council of the Mujahideen of Iraq.

The charges began in 1988 when Hilaly delivered a lecture to a group of Muslim students at University of Sydney on the topic "The Disposition of Jews in the light of the Qur'an."

The Jews try to control the world through sex, then sexual perversion, then the promotion of espionage, treason, and economic hoarding.

"[23] In February 2004 Hilaly gave a sermon at a mosque in Sidon, Lebanon, whilst overseas the text of which was translated by the Australian Embassy in Beirut.

In July 2006 Hilaly was sacked from Prime Minister of Australia John Howard's Muslim Community Reference Group following comments he made in which he denied the Holocaust, calling it a "Zionist lie".

This prompted calls for legal action to be pursued against him in a country which has the highest per-capita number of Holocaust survivors in the world outside Israel.

[26] In October 2006, Hilaly delivered a Ramadan sermon in Arabic in which he made statements concerning female clothing which proved highly controversial.

"[27] Pru Goward, Australia's Sex Discrimination Commissioner, responded during a television interview that "It is incitement to a crime.

[35][36][37] Ultimately, organisers claimed that public reports critical of the demonstration and personal attacks caused them to abandon the event.

He made a number of comments that sparked criticism in Australia, including the following: Hilaly also condemned the level of rights awarded to homosexuals in Australia, stating "We have Christian churches which allow people of the same gender to marry" and "I understand the mentality of the West and especially the Australian mentality and I understand that the Australian law guarantees freedoms to the point of insanity.

"[39][40] Following his comments on social and legal issues and in the lead-up to the 2007 Federal election, Hilaly proposed to form a political party to represent Islamic interests in the national Parliament.

Prime Minister John Howard commented "It would be unwise because it would heighten the belief of some in the community that islamic Australians are opposed to integration.

[44][45] Allegations surfaced that Hilaly was diverting relief funds intended for the victims of the Israel-Lebanon war to Lebanese Shiite militant group Hezbollah, the military wing of which is classified as a terrorist organisation by the Australian Government.

[46] The Council of Islamic Jurisprudence and Research reappointed Hilaly as Grand Mufti on 10 June 2007; however, he declined the position, thereby ending his term in office.