BREAKING: A damning report has revealed that up to $15 billion of taxpayers’ money may have been wasted in Victoria’s Big Build infrastructure program due to corruption and mismanagement, igniting a political firestorm. Esteemed corruption investigator Geoffrey Watson SC claims the state government was aware of the misconduct but failed to take action.
The explosive findings, outlined in Watson’s report titled Rotting from the Top – The CFMEU in Victoria During the Setka Era, allege that the CFMEU has transformed from a trade union into a “crime syndicate,” deeply embedded in the state’s construction sector. This report has sent shockwaves through the government, prompting urgent calls for accountability.
Watson’s investigation asserts that the CFMEU’s involvement in major government projects has led to inflated costs, estimating that 15 percent could be attributed to union-related overruns. Watson emphasized that this figure is conservative, suggesting that the true impact may be even greater, with costs driven up by union-related criminal activity.
In a statement, Watson condemned the government’s inaction, stating, “There is no doubt the government knew… but it is equally clear that the government did nothing about it.” The report alleges that several major construction sites were exploited as drug distribution hubs and that lucrative contracts were manipulated, enriching union operatives.
“This is the equivalent of over $5,000 for every Victorian household – a morally indefensible waste of taxpayer money,” said Opposition Leader Jess Wilson.
Premier Jacinta Allan has called the CFMEU’s actions “sickening” but has rejected the $15 billion estimate, labeling it untested. She claimed she only became aware of the systemic issues after media reports in 2024, which led her to refer matters to anti-corruption commissions. Nonetheless, she faces mounting pressure to explain why her government allowed such misconduct to persist.
Wilson has labeled the unfolding scandal as the “biggest corruption scandal in Victoria’s history,” pledging a royal commission into the CFMEU and the Big Build if the Coalition wins the next election. She demands transparency on how the government allowed criminal elements to infiltrate taxpayer-funded projects.
The fallout continues as the opposition moves to intensify scrutiny, proposing fresh referrals to anti-corruption watchdogs and demanding government documents related to the redacted portions of Watson’s report. Wilson’s proposed judicial inquiry aims to trace every cent of the alleged loss and investigate connections to organized crime.
As investigations proceed and political tensions escalate, the future of Victoria’s Big Build program hangs in the balance. The government now faces a critical challenge: restoring public trust while addressing the integrity of a program essential for the state’s infrastructure development.
This scandal not only threatens the government’s reputation but also raises urgent questions about the management of taxpayer funds. With the political landscape shifting, all eyes are on the courtrooms and inquiries that will ultimately reveal the full extent of the alleged corruption.
Stay tuned for updates as this story develops. The implications for Victoria’s infrastructure and governance are profound and far-reaching.