Updated February 19, 2026 — 7:29pm, first published 12:34pm
Several Labor MPs have voiced concerns over Premier Jacinta Allan’s handling of the escalating CFMEU corruption scandal, as tensions flared during a press conference where Allan clashed with reporters over her government’s response. Three backbench MPs, speaking on condition of anonymity to avoid repercussions, told The Age that the government must address the issue decisively, with options such as a royal commission and enhanced powers for the state’s anti-corruption watchdog being discussed internally.
Allan, however, dismissed these concerns as “anonymous gossip” during a tense press conference, where she threatened to stop answering questions unless a reporter retracted a comment suggesting she was “disinterested” in the scandal. She rejected the need for a royal commission and defended her ministers’ criticisms of Geoffrey Watson, SC, denying that calling him a “headline chaser” and questioning his professional integrity was inappropriate.
Political Turmoil and Legislative Standoff
On Thursday night, the government was compelled to adjourn a parliamentary debate on an omnibus justice bill after the Greens and the Coalition sought to amend it with new follow-the-money powers for the Independent Broad-based Anti-corruption Commission (IBAC). With the Greens securing enough crossbench support to pass the amendment, the government postponed the final vote to avoid the amendment’s passage in the upper house.
Shadow Attorney-General James Newbury criticized the move, claiming Allan had “so lost her moral compass” that she would delay crucial anti-hate speech laws and IBAC reforms. Meanwhile, Greens leader Ellen Sandell accused Labor of “pulling out all the stops” to prevent the changes from passing.
The legislation includes a significant anti-vilification reform pledged by Allan following the Bondi terror attack, which would eliminate the requirement for the Director of Public Prosecutions to approve hate-speech charges.
Ministerial Criticisms and Union Reactions
Victorian Labor ministers launched a personal attack on Watson after sections of his report into CFMEU corruption accused the state Labor government of ignoring corruption and organized crime on infrastructure projects, costing taxpayers $15 billion. Watson provided similar testimony at a Queensland inquiry into the union.
Police Minister Anthony Carbines labeled Watson a headline chaser, dismissing his evidence as “florid ramblings.” Attorney-General Sonya Kilkenny reinforced this stance, stating it was reckless to make unfounded claims of a $15 billion taxpayer cost from corruption in the Big Build, emphasizing that lawyers have a professional duty to rely on evidence.
“People are pretty thin-skinned and want to make partisan attacks when their homework is questioned,” Carbines remarked, responding to Watson’s suggestion that he was engaging in Trumpist politics.
Asked whether it was acceptable for senior ministers to undermine Watson’s work, Allan disagreed with the characterization, reiterating claims that it was “reckless” to repeat “unfounded claims.” She asserted that Kilkenny’s statement did not directly attack Watson and should apply to “all lawyers.”
Internal Party Divisions and Future Implications
The three Labor MPs from various party factions expressed concern about the scandal’s impact on the government, noting a broader opinion that action was needed to neutralize the issue. One MP described the response as a “f—ing mess,” acknowledging that, despite disputes over Watson’s $15 billion figure, it resonated with voters and damaged the party’s reputation.
Two MPs supported a royal commission after the Greens and crossbench backed an upper house Coalition motion calling for an inquiry. All three supported granting the state’s anti-corruption watchdog the power to track taxpayer dollars to subcontractors.
“We don’t have to support their amendment. [But] we should be saying we are working on further steps and have something to show in the next week,” one MP suggested.
Two other MPs defended the premier, supporting her position that Victoria Police, the Fair Work Commission, and other authorities are best suited to investigate corruption concerns. Allan stated no MP had raised matters with her regarding calls for a royal commission.
During the press conference, Allan threatened to leave after a reporter suggested she appeared “disinterested” in the matter. Despite her insistence, the reporter did not retract the comment, and Allan eventually continued with the conference.
The Electrical Trades Union Victorian branch issued a statement defending the Big Build, emphasizing the induction of 100,000 workers onto projects and urging pride in the state’s transformation. They criticized the $15 billion claim as lacking credibility and a factual basis, arguing that allegations should not be treated as fact.
In a related development, The Age revealed that two prominent Victorian union and Labor powerbrokers were filmed dining with gangland figure Mick Gatto on a yacht, raising further questions about the Allan government’s efforts to combat underworld influence. Allan did not respond to questions about whether her government would refuse meetings with union leaders associated with Gatto.
