Fair Work Commission chief Murray Furlong has launched Federal Court proceedings that would give an independent administrator sweeping powers to overhaul the CFMEU’s construction division.
The watchdog announced a proposal to appoint veteran senior barrister Mark Irving, SC, as the independent administrator of the CFMEU’s construction branch in New South Wales, Victoria, Queensland, the Northern Territory and South Australia.
It follows the revelations of alleged corruption within the powerful union, with links to bikie gangs first reported by Nine’s newspapers and 60 Minutes.
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Under the proposed scheme, the independent administrator would have the power to remove officers, officials and employees from their positions in the union.
They would also be given the reigns of the union’s finances, including property and credit cards held by the construction division.
They would also be able to vote in meetings and be responsible for complying with the regulations set over the union.
Earlier this week, Construction Union national secretary Zach Smith made plans to install a union-backed administrator for the CFMEU, Geoffrey Watson SC.
Watson previously assisted the NSW Independent Commission Against Corruption but would have fewer formal powers to reform the CFMEU compared to an independently appointed administrator.
Prior to the announcement that he could be the new independent administrator of the CFMEU, Irving had worked with the Health Services Union to investigate corrupt conduct.
The Fair Work Commission promised today that under their proposal, the scheme would ultimately restore confidence in the administration of the union.
The scheme “will take as long as necessary to bring the Branches of the Division into lawful compliance, and then systemically embed this governance for the future,” it said.
The Fair Work Commission would also appoint consultancy firm KordaMetha to prepare an audit of the construction division’s finances.
In a statement on Friday, Furlong said he was unwavering in his commitment to ensuring the success of this process for the benefit of CFMEU members, employers and the broader community.
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