BREAKING: A shocking revelation has emerged regarding a company linked to notorious gangland figure Mick Gatto. An officer from Gatto’s affiliated company, M1 Security Services, was granted a labour hire licence despite a recent 12-month ban on managing licensed premises. This alarming information was disclosed by the Victorian opposition as they pressed Premier Jacinta Allan for answers during a heated parliamentary session.
The scandal has intensified scrutiny over Gatto’s connections within the state’s security and labour hire sectors. Transport Infrastructure Minister Gabrielle Williams confirmed that M Group, which includes several labour hire companies associated with Gatto, is currently involved in the controversial North East Link project.
During the questioning, opposition industrial relations spokesman Brad Rowswell highlighted that the licence holder, Stephen Kyriacou, had previously been banned due to his involvement in a tragic incident at a local strip club, where a dancer was found dead from suspected drug toxicity. Rowswell demanded to know why Kyriacou was still considered a suitable candidate to hold this vital licence under such circumstances.
Premier Allan defended the Labour Hire Authority’s ability to assess the suitability of licence holders. She stated, “They have the powers to test the fit and proper person test that has been provided to the Labour Hire Authority.” Nevertheless, the approval for M1 Security Services’ licence occurred in July 2025, prior to the implementation of stricter regulations aimed at preventing individuals with questionable backgrounds from operating in the industry.
Adding to the urgency, the Labour Hire Authority has issued a notice of intent to cancel the licence of another M Group subsidiary, M1 Trades & Labour Pty Ltd, a move Williams described as “meaningful” and indicative of ongoing investigations. “Under the Labour Hire Authority’s processes, they can [still work on the project] until that final determination is made,” she clarified.
The implications of this situation are profound, as M Group companies provide essential labour and traffic management for numerous taxpayer-funded projects. Rowswell criticized Allan for allowing companies linked to organized crime to benefit from public contracts, stating, “She also refused to tell Victorians how much taxpayer money has flowed to underworld-linked companies.”
In a related development, the Queensland commission of inquiry into the CFMEU has raised alarms about M Group’s potential ties to Gatto, citing a report by corruption lawyer Geoffrey Watson, SC. Watson’s findings assert that M Group acts as a front for Gatto, estimating that one of its companies could generate $52 million in 2025 alone.
While Gatto denies any ownership of M Group, Watson described attempts to mask Gatto’s involvement as “crude.” M1 director Tony Paragalli rebuffed Watson’s claims, asserting that his company operates independently and that Gatto’s role is merely as an industrial relations mediator.
As investigations continue, Premier Allan faced further questioning regarding the approval processes that allowed multiple M Group companies to operate on state-managed roads. She reiterated that the Labour Hire Authority is equipped to take decisive action.
The situation remains dynamic, with the potential for significant consequences for companies linked to Gatto. Observers are urged to stay tuned for further developments as the Labour Hire Authority’s investigations unfold, which could shape the future of labour hire practices in Victoria.
This urgent situation highlights the intersection of organized crime and public resources, raising critical questions about oversight and accountability in the labour hire industry. As this story develops, the impact on taxpayers and public safety remains a pressing concern.
