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‘Cover up’: Karl’s fiery tirade to union boss

Written by on July 16, 2024

The national secretary of an embattled construction union has remained defiant against a furious grilling by Today host Karl Stefanovic, who accused the union boss of “covering up” the organisation’s “alleged corruption”.

In a fiery exchange on Tuesday morning, Stefanovic asked Construction, Forestry and Maritime Employees Union (CFMEU) boss Zach Smith: “How long have you been covering up your union’s alleged corruption for?”

The organisation’s Victorian construction branch faces ongoing allegations of intimidation, union thuggery and employing bikies and people with organised crime links on government-funded construction sites, as revealed in an ongoing Nine media investigation.

The CFMEU’s former Victorian state secretary John Setka also resigned from his role on Friday; however, he denied the allegations, stating the “malicious attacks” did nothing but “harm the work this great union does for its members”.

Mr Smith, however, maintained the “union has covered nothing up” and said there was “no place for criminality in our union”.

He also said the CFMEU had placed its Victorian branch into administration and had appointed an independent investigator to test the claims.

However, Stefanovic returned fire and said: “So essentially you’re taking the ‘I know nothing‘ defence. It defies belief.”

Mr Smith then accused Stefanovic of “putting words into my mouth” and said the union needed to have processes that “affords people the presumption of innocence and procedural fairness”.

“That’s not an accurate reflection of what I said,” Mr Smith added.

Further explosive claims published by Nine media on Tuesday revealed both then Victorian deputy premier Jacinta Allan and Prime Minister Anthony Albanese received letters detailing the CFMEU’s alleged violence and intimidation in 2022.

The claims made by an Indigenous labour-hire firm also detailed incidents of officials banning non-union affiliated firms from major state and federal construction projects.

Nine newspapers revealed Mr Albanese’s office did not respond to the letter; however, Ms Allan took a year to respond and deferred the allegations to the federal government.

Labor is now facing increasing pressure to end political donations from the CFMEU, with Ms Allan announcing a ban.

Defence Industry Minister Pat Conroy said the Australian Labor Party executive would consider the move in a meeting scheduled for Wednesday as well as a further sanctions against the CFMEU.

The union has only been suspended from the ALP in Victoria, with South Australian Premier Peter Malinauskas reportedly advocating for similar action in his state.

“That’s a matter for the party and obviously that will be considered in due course,” Mr Conroy said.

“What I’m focused on … is what can we do as a federal government to stamp out the sort of behaviour that’s been reported and that’s why (Industrial Relations Minister) Tony Burke has asked for options from his department and all options are on the table, up to and including deregistration of the union.”