The taxpayer money trail from building sites to bikies and the underworld

The Victorian Government’s Handling of CFMEU-Linked Corruption: A Case of Inaction and Cover-Up

The Victoria government has been chastised by top investigator Geoffrey Watson, SC, for its "protection racket" approach to corruption and organized crime within its multibillion-dollar Big Build infrastructure projects. Watson, appointed to clean up the construction sector, asserts that the government ignored warnings of CFMEU-linked corruption despite evidence of gangland infiltration and extortion. This negligence has allowed criminals to exploit the system, undermining public trust and wasting taxpayer funds.

Geoffrey Watson’s investigation uncovered a web of corruption where companies paid large sums, often through front firms, to gangland figures like Mick Gatto. These payments, linked to CFMEU influence, continued despite government assurances to tackle the issue. Federal police raids, codenamed Operation Rye, targeted Gatto’s accountant, Charles Pellegrino, signaling some action but raising concerns about broader inaction by state authorities.

Specific incidents reveal the depth of corruption, with bikie gangs extorting money and threatening violence. Workers were assaulted and blacklisted after reporting issues. Projects like the Metro Tunnel and North East Link were plagued by ghost shifts and fake payments, with criminals earning thousands without working. The case of the Tibos brothers exemplifies this, with taxpayer money funding their salaries despite absenteeism and criminal records.

The inquiry into these issues, led by Greg Wilson, was deemed a "cover-up" by Watson for failing to scrutinize bureaucrats and ministers. Its focus on procedures rather than accountability left systemic corruption unaddressed. Watson criticized the lack of political will to tackle the root causes, allowing the problem to persist.

The federal response, aiming to reform the CFMEU, has been insufficient. Cases in NSW and Queensland highlight the national scope, but Victoria’s Big Build remains the epicenter due to inadequate checks. The government’s inaction and failure to hold officials accountable have emboldened criminal elements, undermining efforts to clean up the sector.

In conclusion, the Victorian government’s lack of thorough investigation and accountability has allowed corruption to fester, betraying public trust. Urgent reforms and accountability are needed to restore integrity to the Big Build projects and ensure taxpayer money is used ethically.