Corruption investigator Geoffrey Watson has sharply criticized former Victorian Premier Jacinta Allan and her ministers over their public rejection of his report on misconduct in the construction industry, which estimated a $15 billion cost to the state economy. Mr. Watson made his remarks on Friday during testimony at the Queensland CFMEU commission of inquiry.
The report, titled "Rotting from the Top," drew strong condemnation from Labor government officials earlier this year. Victorian Attorney-General Sonya Kilkenny dismissed the $15 billion figure as an “unfounded claim,” warning that the line between fact and allegation had become blurred. Police Minister Anthony Carbines accused the report of consisting of “lots of florid ramblings.” Ms. Allan also disputed estimates from the report and suggested Mr. Watson believed he had been misquoted, a characterization he has firmly rejected.
Speaking from Brisbane, Mr. Watson described the government’s reaction as “bitterly critical” and expressed frustration that no one from the Victorian Labor Party had sought to engage with him directly about the findings. “No, nobody from the Labor Party has contacted me at all to discuss that,” he said, adding that the statements issued by ministers appeared to imply his findings were fabricated.
The report’s revelations and the subsequent controversy have drawn broader attention to governance issues in Victoria’s construction sector. This week, newly appointed Victorian Premier Ben Carroll announced a royal commission into the CFMEU and the construction industry within the state. Mr. Watson expressed disappointment and astonishment at the dismissive response from Ms. Allan, Ms. Kilkenny, and Mr. Carbines. He further noted his surprise at hearing underworld figure Mick Gatto cite government officials’ criticisms of the report during a radio interview.
In response to Mr. Carbines’ suggestion that he should have brought his concerns directly to the police, Mr. Watson said the minister could have easily verified that he had been regularly consulting law enforcement authorities, stating, “I was going to them every week.”
Separately, Mr. Watson faced intense cross-examination on Friday by barrister Simon Wilson KC, acting for two Melbourne businessmen who denied Mr. Watson’s assertion that they served as frontmen for Mr. Gatto in a Victorian labor hire company. The defense contended that Mr. Gatto was employed by the men’s company as an arbitrator in negotiations with the CFMEU, with evidence presented that the company had paid him approximately $1 million over several years.
The inquiry continues to probe the complex relationships and alleged misconduct within Victoria’s construction industry, with the government’s forthcoming royal commission expected to further examine these issues.
