He was accused of using a series of offshore companies to buy TV rights for nearly 3, 000 films and exploiting the values in order to claim the paymentsfor tax purposes.
As a result, FEMA has only been able to make partial payments to many who are legally entitled to full claimpayments, giving rise to the need for the additional money.
Mr Hackett also attacked the prosecution's claim that it would have been impossible for Mr Nadir to make balancing paymentsfor the money he took out of Polly Peck International (PPI) by making matching cash deposits in northern Cyprus.
The government says there will be flexibility in how the universal credit is implemented - with people able to get help to claim over the phone or in person and to keep fortnightly payments - as well as transitional support for those who need it.