The Victorian Opposition has unveiled the terms of reference for a proposed royal commission into the CFMEU corruption scandal that may have cost taxpayers an estimated $15 billion.
Liberal leader Jess Wilson said her party would investigate the full extent of the corruption on Victoria’s Big Build sites and accused the government of turning a “blind eye”.
“We will chase down every single cent of that $15 billion,” she said.
“We want to know where it went, into whose pockets, because this isn’t the government’s money, this isn’t Jacinta Allan’s money, this is taxpayer’s money.”
Jess Wilson called the CMFEU saga the “biggest corruption scandal in Victoria’s history”. (ABC News)
Among the proposed terms of reference are investigations into the link between CFMEU misconduct and organised crime, and an investigation into the Labor government’s culpability.
This week, Premier Jacinta Allan said the government had no intention of calling a royal commission, and was instead focused on “taking action now”.
“Royal commissions that haven’t worked in the past, didn’t deal with issues quite clearly because it remained an issue after that royal commission had concluded,” Ms Allan said on Thursday.
Government in eye of corruption storm
The Allan government has been under pressure this week following the publication of a redacted report into the Victorian branch of the CFMEU.
The report written by Geoffrey Watson SC and tendered to Queensland’s Commission of Inquiry on Wednesday, detailed widespread corruption, violence and extortion in the CFMEU.
Among the claims in the report were estimations that the actions of the CFMEU had cost the Victorian taxpayer around $15 billion, and that the state Labor government has been “cowed” by the industrial power of the union.
Mr Watson said he had no doubt the government knew was happening inside the CFMEU but did nothing as it wanted its Big Build projects to be completed.
They were claims the premier addressed on Thursday, just hours after a former CFMEU official was arrested and charged with blackmail.
Ms Allan said any allegations of misconduct that were presented to her in her time as infrastructure minister were handed to the relevant authorities.
Ms Allan also refuted the estimated figure of $15 billion in taxpayer losses, and said it was untested.
But the estimate was backed up by the Fair Work Commission’s general manager Murray Furlong in Senate hearing on Thursday, who said it was consistent with what he had heard.
The government has not committed to testing the figure, with Housing Minister Harriet Shing saying on Sunday the government had referred all matters to relevant authorities.
“In determining the extent of any issues within the construction industry, we have referred matters to IBAC, referred matters to Victoria Police,” Ms Shing said.