BREAKING: Two individuals have been arrested as part of a significant investigation into alleged fraudulent payments linked to BK Labour, a major player in Victoria’s construction sector. This urgent police action was taken by Victoria’s Taskforce Hawk on Wednesday morning at the firm’s headquarters in Port Melbourne.
Detectives arrested a 66-year-old man from Middle Park and a 66-year-old woman from Docklands. The man faces serious charges of using a false document, while the woman has been released pending further inquiries. The investigation into possible corruption is ongoing, with authorities suggesting that numerous invoices were falsified as part of a broader scheme.
Police stated that they “will allege invoices were falsified and are investigating a number of other payments and cash withdrawals.” These developments come amidst BK Labour’s controversial rise within the labour hire industry, heavily backed by the CFMEU. The firm has been a dominant force in significant projects including the Suburban Rail Loop and various level crossing removals, often pressuring workers to transition from non-union firms.
In a statement following the arrests, the Labour Hire Authority of Victoria issued a notice of intention to cancel BK Labour’s licence, giving the company a chance to respond. The firm, which indicated it would soon close to allow its directors to retire, has become embroiled in a scandal that may have far-reaching implications for the construction industry.
The investigations coincide with new legislation passed by Victoria’s parliament, which enhances the authority’s powers to investigate and regulate the labour hire sector. These laws, yet to come into effect, will enable the authority to block individuals from serving as directors if they are linked to any unfit persons.
From June 2024 to June 2025, the authority has already made headlines by cancelling the licences of 126 construction companies and rejecting 44 applications, including those with ties to organized crime. This crackdown reflects a growing focus on ensuring integrity within the construction industry, particularly as Operation Hawk transitions to Taskforce Hawk.
The man arrested is scheduled to appear in the Melbourne Magistrates’ Court on June 19, further emphasizing the urgency of this ongoing investigation. As authorities continue to probe the depths of this case, the construction sector is watching closely for further developments.
Stay tuned for more updates as this story unfolds, and share this news widely to keep others informed about these critical developments in Victoria’s labour hire landscape.
