A go cart company based in Port Melbourne, Australia, has been fined a record AUD$1.4m (£0.69m, US$1m, €0.77m) after a customer died there three years ago.

The company, AAA Auscarts Pty Ltd, went into liquidation in 2008 and did not defend the case, which involved three charges under the Occupational Health and Safety Act 2004.

WorkSafe Victoria's executive director, John Merritt, said that the decision sent a clear message to those who operate all businesses and particularly amusements.

"Public and worker safety must be paramount and that the consequences of ignoring it will be harsh," he said.

"Today's penalty won't bring back Lydia Carter, a wife, mother, workmate and friend to those at Summit Holden, but it underlines the potential consequences when there are serious safety failings."

Mrs Carter, 51, was with a group of work colleagues attending a social function at the Auscarts venue when her cart struck a barrier made from tyres. She was knocked unconscious and died as a result of injuries including a fractured skull caused by a whiplash.

WorkSafe investigations found the barriers made from car tyres and used to protect patrons from crashing into concrete walls were inadequate and offered little protection.

An expert report also found that Mrs Carter's head struck the go cart's steering wheel hub because her seatbelt harness was not adequately fitted and tightened.

The court was told that before the death, seven separate incidents resulting in injuries to patrons had occurred at the Port Melbourne site over a three-year period.

"Seven previous incidents over a short time at this business should have been more than a wake up call that fundamental safety processes used by this employer were flawed," said Merritt.

"WorkSafe Victoria Inspectors will continue to visit businesses across the state and take any necessary action to ensure workplace safety is a part of every working day for employers and workers.

"Particularly in difficult economic times, safety has to remain a priority. The consequences of not making it so can be disastrous at a human and commercial level."

The AUD$1.4m fine is the highest ever in Victoria under the Occupational Health and Safety Act 2004.