Why Victoria needs a royal commission into the CFMEU

Over its four-year life the Costigan royal commission had its terms of reference frequently widened, its timeframes extended, its powers increased and resources expanded.

It developed a sophisticated computer database that no other law agency had to follow the money trail. It was able to track down links across all parts of society including business and found that the Painters and Dockers Union was the centre of many other criminal networks including money laundering.

The Premier has said he wants “exhaustive terms of reference” to cover “top-tier contractors, subcontractors, labour hire firms, government bodies and unions”. Perhaps he has taken note of Costigan. We await the terms of reference to see if this is confirmed.

Costigan highlighted how the so-called “bottom of the harbour” tax evasion schemes involving the asset-stripping of companies to avoid tax liabilities, although facilitated by criminals in the union, also involved reputable companies, firms and families from the big end of town.

Costigan’s commission, as it progressed and released interim reports, embarrassed the Fraser government, forcing it to pass retrospective tax evasion legislation that upset many business leaders, including those associated with the Liberal Party. There were issues too, with other business leaders with Labor links.

Although Opposition Leader Jess Wilson supports a royal commission, she believes that Carroll’s commission will be “sham” and a “fake”. The proof of Premier Carroll’s commitment to ending Labor’s record of perceived corruption, will, as with all royal commissions, depend on the terms of reference that Carroll announces and whom he appoints to be its chair.

The For the chair, the person needs impeccable credentials, outstanding capabilities and the same tenacious energy as the late Frank Costigan. The Premier might have to look interstate.

Premier Carroll should seek bipartisan support for the terms of reference and chair of the commission and the opposition needs to participate in the process. Only then will Victorians be confident that this not a “sham” inquiry and that, if there is a change in government, the royal commission will have the continuity and political support to do its job properly.