Victorian premier Ben Carroll has called a royal commission into the construction sector, which will examine allegations of corruption among the CFMEU and others connected to the Big Build. Photograph: James Ross/AAPView image in fullscreenVictorian premier Ben Carroll has called a royal commission into the construction sector, which will examine allegations of corruption among the CFMEU and others connected to the Big Build. Photograph: James Ross/AAP‘There was grift, there was thuggery’: Victorian premier says ‘nothing is off limits’ at construction royal commissionBen Carroll releases terms of reference for inquiry that will include examining allegations of CFMEU corruption on state government building sites
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“Nothing is off limits” to Victoria’s royal commission into the construction sector, Ben Carroll has said, as he released the inquiry’s terms of reference and confirmed former premiers and ministers could be called to face public hearings.
The Victorian premier on Thursday unveiled details of the inquiry while acknowledging there had been “grift”, “thuggery” and “violence” on taxpayer-funded building sites, after the letters patent formally establishing the commission were signed off by the governor following a cabinet meeting earlier in the morning.
Chris Kourakis, the former chief justice of South Australia, whom Carroll described as “independent, rigorous and fearless”, has been appointed commissioner.
Read moreKourakis, who has been given coercive powers to compel the production of information, including cabinet documents, and the attendance of witnesses, has been given a $50m budget and must report to the government by 20 August 2027.
The inquiry has been formally named the Royal Commission into the Integrity of Major Public and Civil Infrastructure Construction Projects in Victoria.
Carroll said the inquiry followed allegations of wrongdoing by the CFMEU and others connected to the Big Build, first reported by Nine newspapers in 2024.
“It is clear – and I want to acknowledge the role of both investigative journalism and whistleblowers – that there was grift, there was thuggery, there was misogyny, and there was violence on taxpayer-funded construction sites. I have zero tolerance for that,” he told reporters.
“We are giving this royal commission the broadest, most extensive, wide-ranging powers: full transparency, nothing is off limits.
“Victorians deserve answers, and this royal commission will provide them.”
Under the terms of reference, the commission will investigate the extent to which “corruption, criminal conduct or serious misconduct” occurred on major Victorian projects by the Construction, Forestry and Maritime Employees Union (CFMEU), construction companies, subcontractors, labour hire firms and others.
It will also examine whether government departments and project delivery agencies “adequately adhered” to their responsibilities in overseeing the projects.
The inquiry will consider whether measures could be taken to “recoup” taxpayer funds that were “misappropriated or received as a result of corruption, criminal conduct or serious misconduct”.
However, “lawful, legitimate and appropriate actions taken” under industrial relations and occupational health and safety laws are outside the inquiry’s scope. The commission can examine whether those laws or regulations were misused.
Carroll said the terms of reference make it a matter for the commissioner to decide whose actions and whose knowledge are relevant to the matters under investigation.
“Not the government, not me. The commissioner,” he said. “If he wants to hear from ministers, former ministers, senior officials, union leaders or company executives, he has the power to call them.”
Under questioning, he confirmed “premiers and former premiers” can also be called. He also confirmed their legal representation – and that of former ministers – will be publicly funded, which he described as “standard procedure”.
The CFMEU administrator, Michael Crosby, said in a statement it would “fully cooperate” with the royal commission. He said while “significant public attention” had been focused on the union, “misconduct is not confined to one organisation”.
Crosby urged the commission to also examine “the conduct of developers, head contractors, subcontractors, labour hire operators and anyone else who has profited from unlawful or unethical behaviour”.
“The CFMEU has been calling out wage theft, sham contracting, phoenixing, safety breaches and the exploitation of vulnerable workers for years now. These practices rob workers of their pay, put lives at risk and undermine honest businesses doing the right thing,” he said.
“Governments, law enforcement and regulators must shine the spotlight across the entire industry. Victorian workers deserve nothing less.”
Carroll’s first act as premier three weeks ago was to announce he would set up the inquiry into the sector.
Carroll also said a special prosecutor would be appointed to work in parallel to the royal commission, and that the Independent Broad-based Anti-corruption Commission would be bolstered with follow-the-money powers.
Both these elements would require legislation, which he had committed to introducing to parliament before the government enters caretaker mode before the November state election. It is understood Victorian parliament will sit for additional days to allow for this to occur.
Carroll’s predecessor, Jacinta Allan, was the minister responsible for transport infrastructure at the time when most alleged wrongdoing occurred.
While she apologised for criminal allegations that had been uncovered, Allan had rejected calls for a royal commission, which put her at odds with a number of her MPs.
It led several to join a cross-factional group that urged Carroll to challenge Allan for the leadership. Allan ultimately stood down before a vote.
