'I'm not guilty. I didn't kill': Sara Connor loses Bali murder case challenge

Australian Sara Connor sits in a courtroom during her trial in Bali, Indonesia. Photo / AP

Australian woman Sara Connor has lost her bid to have the murder case against her thrown out in Bali, sparking her to again proclaim she is innocent.

The 46-year-old mother from Byron Bay, NSW, looked tense as the three judges at Denpasar District Court on Thursday dismissed her lawyer's challenge over the alleged murder of Bali police officer Wayan Sudarsa.

Connor and her British DJ boyfriend David Taylor are facing charges of murder, fatal assault in company and assault causing death, with prosecutors alleging they attacked Sudarsa on Kuta Beach on the night of August 16 and then left his lifeless body in the sand.

An Indonesian prison guard removes handcuffs from Australian Sara Connor, right, before her trial in Bali, Indonesia, on Thursday. Photo / AP

Connor's legal team, however, had argued that the indictment against their client was "inaccurate, unclear and incomplete" and that she should have been facing charges of eliminating evidence.

They had urged the judges not to "sacrifice" Connor simply to save face. But on Thursday the judges dismissed the challenge, with Chief Judge Made Pasek stating: "The lawyer has argued that the articles (she has been) charged with by prosecutors is not proven but the trial hasn't started the stages of proving yet.

"With this, the prosecutor indictment has been formulated completely, clearly and accurately and the reasons given by the lawyer in their objection must be set aside and could not be accepted." "(We) order the prosecutor to proceed with examination of Sara Connor's criminal case."

After the decision was handed down Connor said: "I'm not guilty. I didn't kill. I was just happened to be there during the incident."

Her matter will return to court next Thursday.

- AAP