Marcus Pare’s remarkable spending draws comparisons to disgraced unionist Kathy Jackson

A secretary of the scandal-plagued union charged $99,000 to a union credit card for travel, accommodation, and “up-market restaurants” while his branch teetered on the verge of insolvency.

A former CFMEU boss booked a trip to a luxury Cook Islands resort with union cash and spent thousands of dollars at high-end restaurants as his branch teetered on the verge of insolvency, an explosive new report reveals.

Marcus Pare, who was assistant secretary of the CFMEU South Australian branch until administrators took over the scandal-plagued union this year, also wrote a letter to himself – posted to his home address – detailing a $28,000 pay rise that allegedly no one had authorised.

A separate purchase of a $78,000 Ford Ranger made with union funds is still being probed, as well as why Mr Pare racked up Uber charges as high as $381 despite having a union car.

Investigators for the CFMEU administrator have questioned who authorised the lavish spending at a time when the South Australian branch was under the control of the union’s Victorian and Tasmanian division, run by John Setka.

Former CFMEU SA assistant secretary Marcus Pare splashed union cash at high-end restaurants. Picture: LinkedIn

Mr Pare’s remarkable spending has drawn comparisons to disgraced unionist Kathy Jackson, who rorted Health Services Union funds early last decade, resulting in a two-year suspended jail sentence.

Interim findings of the probe into the South Australian branch, ordered by administrator Mark Irving KC, have been released through the Fair Work Commission.

The report, by barrister Chris Kummerow, paves the way for a more detailed probe into misuse of union funds and potential criminal charges.

It says in the 12 months from May, 2023, Mr Pare spent $99,673.99 on a union credit card, including on interstate travel, accommodation, and “up-market restaurants”.

Two charges worth $5361 were for a holiday at the Little Polynesian resort in the Cook Islands, of which only $5311 was repaid.

Mr Pare stayed at the Little Polynesian resort in the Cook Islands.

However, the report alleges that $2452 in international flights were purchased around the same time that have never been explained.

“If they are for personal travel overseas, then they would be unlawful,” it says.

The resort is advertised as a 5-star, adults only award-winning resort “perfect for couples and honeymooners looking for a romantic, private and luxurious escape”.

Mr Pare has been given an opportunity to respond to the report, but is yet to do so.

When contacted by the Herald Sun on Wednesday, he said he was unaware of the interim findings, but after the newspaper sent them to him for a response he said: “I deny any wrongdoing”.

“I am assisting the administrator with their inquiries and I am confident that the investigation will exonerate me.”

Few receipts were provided for lavish meals at up-market restaurants in the period examined, which included $4700 worth of meals at a ritzy Argentinian steakhouse “where the steaks cost between $66 and $90 each, the average bottle of wine is $100, and the minimum price for a beer is $12”.

The biggest meal charge was at the Epicurean Restaurant at Crown Casino in Sydney, where Mr Pare and unnamed dining companions enjoyed a $130 set menu and racked up a $2714 bill.

Of that bill $1038 was spent on alcohol, including 27 espresso martinis “at $25 each”.

Investigators say in the period of the spending Mr Pare was the most senior office holder in the SA branch, other than John Setka, who was the divisional secretary in SA, Tasmania and Victoria.

It says Mr Setka “at best fleetingly visited SA rarely” and never attended meetings, so there was no evidence available that he had authorised the lavish credit card spending.

Marcus Pare with John Setka. Picture: Instagram

On February 5 this year, the report says Mr Pare “wrote to himself” about a pay rise that was not reported to the Fair Work Commission, union branch meetings, Mr Setka, or members.

“The letter was addressed to Margues Pare at his home address. It commenced ‘Dear Margues’. It was signed by Marcus Pare over a signature block that stated his name,” the report says.

“The letter stated: I am pleased to inform you that your salary has been revised …. You will be paid an annual salary of $178,034.”

This was an increase from his previous salary of $150,000.

The letter used similar language to that contained in a formal letter he received from former divisional secretary Andrew Sutherland, in 2022.

Changing his salary led to an alleged overpayment to Mr Pare of about $17,360, as well as extra termination payments worth $11,725.

The report refers to other cases of the misuse of union credit cards by senior union officials, including former federal Labor MP Craig Thomson who misused his credit card on prostitutes, and Ms Jackson who misused her credit card to dine at up-market restaurants.

“Mr Pare’s use of the union credit card over an extended period appears to have broken the legal standards and fell well short of meeting ethical standards,” it says.

It also notes that when Mr Pare was on the spending binge, the SA branch of the CFMEU “was in a dire financial position”.

“It was effectively on the verge of insolvency and was relying heavily on the Victorian Branch, also led by Mr Setka, to support it,” the report says.

Prior to 2023, no individual transactions were detailed to branch meetings, and this only changed because Victorian official Rob Graauwmans became involved in the SA branch.

Despite the change, no one at South Australian branch meetings appears to have challenged the eye-watering spending.

“In short, apart from one month where the purchase of pizzas was questioned, the expenses incurred on credit cards were never the subject of question or comment by anyone in the meeting,” the report says.

“The union policy provides expenditure must be “reasonable and responsible”, in

contrast with expenditure that is unreasonable and irresponsible,” the report says.

“On the one side of the line may be buying a meal at a reasonably priced restaurant for delegates: on the other side is buying 10 others 27 espresso martinis at $25 each or spending $1000 on a lunch at a fine dining establishment without keeping any receipts or providing any accountability.”

Two accommodation bookings at Adelaide’s Sofitel Hotel and Hotel Grand Chancellor have raised concerns, and will be further investigated.

“There would seem no reason that Pare would be required to be accommodated in Adelaide, the city in which he resides,” it says.

Spending at a Sydney hotel also raised eyebrows, because transactions worth $1186 were recorded but only receipts for three nights accommodation – worth $834 – were provided.

More questions remain over who authorised the purchase of Mr Pare’s $78,000 Ford Ranger Wildtrak last year, made with union funds.

Earlier this year, shortly before being placed into administration, Victorian members of the CFMEU voted in favour of a new industry-wide workplace agreement that include a 20 per cent pay rise over four years, after which one official joked there would be a run on tradie utes and trucks.

“There’s not enough Ford Rangers in the f***ing country!” they declared at the time.

Despite having the new car, Mr Pare used his members’ funds for Ubers 30 times over 12 months, with the highest charge worth $381.50.

Even without a final report, Mr Kummerow says he believed there is a “prima facie case to investigate if Pare, by these expenses alone, has breached his financial duties under the RO (Registered Organisations) Act”.