Federal Opposition Leader Peter Dutton has called for stronger laws to combat organised crime in the construction sector, saying underworld figures have infiltrated the industry. He described the situation as “the biggest corruption scandal in the nation’s history” and accused the Labor government of turning a blind eye.
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Dutton Calls for US-Style Laws
Dutton has proposed laws based on the US Racketeer Influenced and Corrupt Organisations (RICO) Act, which was used to dismantle the mafia in the 1970s. These laws would allow police to target crime bosses even if they are not directly linked to construction sector crimes.
Dutton also reiterated his call for the deregistration of the CFMEU, saying the government had ignored the union’s misconduct for too long.
“The Albanese government has known for years about the CFMEU, about the abuse and the violence against women, about the extortion, about the links to the outlaw motorcycle gangs,” he told reporters in Melbourne.
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Victoria Police Launches Operation Hawk
Following explosive allegations aired by 60 Minutes Australia, Victorian Premier Jacinta Allan announced a new police task force, Operation Hawk, to investigate claims of bikie and underworld infiltration in the CFMEU.
The allegations include violence against women on worksites and large-scale corruption. One incident showed a woman being assaulted by a bikie-linked health and safety officer during his lunch break from a government-funded project.
Premier Allan condemned the incidents, saying:
“All workers deserve the right to a safe workplace and I was absolutely sickened to my core to see that footage of an allegation of a woman being assaulted and the experience of other women on worksites here in Victoria.”
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CFMEU Under Administration, But Issues Persist
The CFMEU’s construction division was placed under administration last year after claims that outlaw motorcycle gangs had infiltrated the union and were controlling major projects. Barrister Geoffrey Watson SC, who is leading investigations into corruption in the sector, reported that bikie figures still hold influence within the CFMEU.
A preliminary report by barrister Geoffrey Watson SC, published in September, revealed that bikie figures still held sway within the union and that the Victorian branch was entrenched in a pattern of lawlessness, where intimidation and violence were commonplace.
A separate Victorian review led by former justice department chief Greg Wilson suggested requiring principal contractors to report suspected criminal activity on taxpayer-funded sites. However, the review did not name individuals or hold anyone accountable.
Watson called the review “hopeless” and accused the state government of a “cover-up”.
Dutton Slams Labor’s Response
Dutton criticised the Victorian government’s response, calling it “pathetic” and comparing it to a “wet lettuce”. He claimed their inaction allowed the CFMEU’s corrupt practices to continue.
“The laws will make sure that we have the ability for the police to crush these networks,” he said.
The Opposition Leader plans to write to Prime Minister Anthony Albanese to request drafting resources for the proposed legislation so it can be introduced in federal parliament next week.
Calls for a Royal Commission
Shadow Minister for Major Projects Evan Mulholland has demanded a royal commission into corruption on Victorian government construction sites.
“A royal commission would get to the bottom of the scandals that are plaguing the Big Build on Victorian construction sites,” Mulholland said.
He argued that anything less would be unacceptable for the victims of violence and taxpayers who are “being fleeced”.
Mick Gatto Weighs In
Notorious former underworld figure Mick Gatto has also been linked to the ongoing discussions around construction industry corruption. Gatto has long been associated with the CFMEU and was previously involved in disputes within the sector. His name frequently resurfaces whenever allegations of organised crime in the industry emerge.
AFP Raids and Future Investigations
Last Thursday, Australian Federal Police raided properties in Northcote and Lower Templestowe as part of an investigation into corruption in the Victorian construction industry. Victoria Police is expected to release further details on Operation Hawk in the coming days.
Dutton Promises $35M for Melbourne Synagogue Rebuild
In a separate announcement, Dutton pledged up to $35 million for rebuilding a Melbourne synagogue that was firebombed in December 2023. He stood alongside Coalition members and Jewish community leaders, vowing to fight antisemitism.
“We want to bring it back to life. Much bigger and better. That is a symbolic response to those people who have hate in their hearts,” he said.
Dutton assured the Jewish community that the Coalition would stand “shoulder to shoulder” with them against acts of intimidation and violence.
What’s Next?
Victoria Police will proceed with Operation Hawk to investigate the CFMEU’s alleged links to organised crime. Meanwhile, pressure is mounting on the Albanese government to act against corruption within the union and construction sector.
As more details emerge, 60 Minutes Australia and The Australian will likely continue uncovering further developments in what is being described as one of the country’s biggest corruption scandals.
