The Allan government has refused to allow debate on proposed legislation that would expand the powers of Victoria’s anti-corruption watchdog, amid mounting pressure over the deepening CFMEU crisis.
On Thursday, the government blocked an attempt to introduce so-called “follow the dollar” laws that would grant the Independent Broad-based Anti-corruption Commission (IBAC) authority to investigate how taxpayer funds are spent on government projects. The move came less than 24 hours after government sources indicated the bill would be debated.
The proposed reforms, widely supported by crossbenchers, the Coalition, and the Greens, would clarify IBAC’s jurisdiction over publicly funded projects delivered by private contractors. IBAC has previously acknowledged it lacks clear authority to investigate allegations of systemic corruption on major state infrastructure sites, including projects under Victoria’s Big Build program.
The Greens sought to introduce the changes as part of a broader omnibus bill. However, the government adjourned debate, postponing consideration of the legislation until next month.
The delay also had procedural consequences. In adjourning debate, the government postponed urgent amendments to its anti-hate speech laws, which Premier Jacinta Allan had described as a legislative priority following the Bondi massacre. The proposed hate speech reforms would streamline the process for police to lay charges, subject to approval from the Director of Public Prosecutions.
The Parliament’s Integrity and Oversight Committee last year recommended legislative reform to strengthen IBAC’s mandate. In its report, the committee stated that reform was “necessary and timely” to enhance transparency, accountability, and public confidence. It further noted that IBAC’s authority to investigate corruption involving publicly funded projects carried out by private companies remains unclear in an era of extensive outsourcing.
The issue gained renewed prominence this week when IBAC confirmed it did not have jurisdiction to investigate a 2024 referral from Premier Allan concerning allegations of corruption involving the CFMEU on government-funded projects.
Former IBAC commissioner Robert Redlich said the limitations of IBAC’s powers were well known. He noted that unlike New South Wales’ ICAC, Victoria’s watchdog does not have explicit authority to examine all corruption allegations involving publicly funded infrastructure projects.
Opposition business manager James Newbury criticised the government’s decision, arguing that delaying debate on both IBAC reforms and hate speech amendments undermined parliamentary accountability.
Greens leader Ellen Sandell also criticised the adjournment, stating that parliament had the opportunity to strengthen anti-corruption laws but failed to proceed with debate.
The developments come as scrutiny intensifies over governance, transparency, and oversight mechanisms within Victoria’s major infrastructure program. Political analysts suggest the debate over IBAC’s powers is likely to remain central to the state’s political landscape in the months ahead.
