An officer of a company linked to notorious figure Mick Gatto obtained a labour hire licence despite a previous ban from managing a licensed premise, the Victorian opposition revealed. The controversy has intensified scrutiny on Premier Jacinta Allan regarding the involvement of Gatto-associated companies in state projects.
Transport Infrastructure Minister Gabrielle Williams confirmed on Thursday that M Group, a conglomerate of labour hire companies with ties to Gatto, was active on the North East Link project. This revelation has raised questions about the company’s presence in Victoria’s security, traffic control, and labour hire sectors.
Controversial Licence Approval
Opposition industrial relations spokesman Brad Rowswell highlighted concerns over the registration of M1 Security Services in 2025. Public records indicate that Stephen Kyriacou, the licence holder, was banned in 2022 by the liquor regulator from managing a licensed premise for a year. This ban followed the tragic death of a dancer at Dreams Gentleman Club, attributed to “multi-drug toxicity,” where Kyriacou was involved as a “related person.”
Rowswell questioned why Kyriacou was considered a “fit and proper person” to hold a labour hire licence given his history. Premier Allan responded that Victoria’s Labour Hire Authority possesses the necessary powers to investigate such matters.
“They have the powers to test the fit and proper person test that has been provided to the Labour Hire Authority,” Allan stated.
Regulatory Loopholes and Legislative Changes
The licence for M1 Security Services was granted under previous regulations before the Victorian parliament enacted stricter “fit-and-proper-person” requirements for labour hire businesses. These new guidelines, effective this year, include criteria for associations with individuals who may not meet the necessary standards.
Kyriacou declined to comment when approached by The Age. Meanwhile, Williams confirmed that M Group companies were engaged in the North East Link project, following inquiries from the opposition regarding their involvement.
Potential Licence Cancellations
The Labour Hire Authority recently issued M1 Trades & Labour Pty Ltd, an M Group subsidiary, with a notice of intent to cancel its licence. Williams described this as a significant step that could influence the company’s participation in the project.
“Under the Labour Hire Authority’s processes, they can [still work on the project] until that final determination is made … The advice I’ve received [is] that’s fairly prompt,” Williams noted.
Williams emphasized that the authority’s ongoing investigations have led to over 140 cancellations in the construction sector, underscoring their effectiveness.
Political and Financial Implications
Nationals leader Danny O’Brien pressed Premier Allan on why six M Group companies received approval from the Department of Transport and Planning to work on state-managed roads. Allan reiterated the Labour Hire Authority’s capacity to take decisive action but did not directly address the department’s approval processes.
Rowswell criticized Allan’s response, claiming she failed to justify the benefits these companies receive from taxpayer-funded projects.
“She also refused to tell Victorians how much taxpayer money has flowed to underworld-linked companies, while continuing to reject calls for a royal commission into corruption on major projects,” Rowswell asserted.
M Group’s involvement in major Victorian projects, including several taxpayer-funded initiatives, has sparked concerns that the cancellation of one subsidiary’s licence could lead to broader repercussions for the group.
Broader Investigations and Allegations
In a related development, the Queensland commission of inquiry into the CFMEU held a press conference outside M1 Traffic Control Queensland’s offices to address potential links to Gatto. A report by corruption-busting lawyer Geoffrey Watson, SC, presented last month, identified M Group as a front for Gatto, suggesting similar connections for a new Queensland company.
“Gatto, of course, denies he owns the M Group companies, but that is transparently false. The attempts to conceal Gatto’s involvement are crude,” Watson’s report stated.
Commissioner Stuart Wood emphasized that no definitive findings had been made but welcomed confidential information from the public, ensuring procedural fairness for those under investigation.
The unfolding situation continues to draw attention as authorities and political figures grapple with the implications of these revelations. The Labour Hire Authority’s ongoing investigations and potential licence cancellations could significantly impact M Group’s operations and the broader industry.