Victorian Building Authority staff charged after anti-corruption investigation into alleged bribes

Two Victorian Building Authority staff have been accused of taking bribes to register builders as part of an IBAC investigation.

The two staff members have been accused of taking bribes to register builders.

Two Victorian Building Authority staff have been charged and a third is being investigated over allegations they took bribes to register builders.

The Independent Broad-based Anti-corruption Commission raided the homes of the employees on Wednesday, and as part of what it calls Operation Perseus.

The integrity watchdog began an investigation into the allegations of corrupt conduct after being alerted to suspicious activity by the VBA in June, last year.

Since then, the regulator has been co-operating with the IBAC during its year-long probe, and has now stood down staff who were under investigation.

The chief executive of the VBA, Anna Cronin, said there would be a full review into the impacts of the alleged bribery, to ensure builders with registrations were appropriately qualified.

“The VBA referred suspicious activity to IBAC in June last year and has been supporting them with their investigation ever since,” she said.

“Today IBAC notified us they have charged two employees with criminal offences and are investigating a third.

“The employees involved have been stood down by the VBA with immediate effect.

“The VBA is now reviewing any impacts of this alleged activity to ensure the integrity of our systems.”

It is expected those charged would face court from late this month.

In a statement, the IBAC said it had “conducted searches at a number of premises under warrant”.

“Following this activity, two Victorian Building Authority (VBA) employees have been charged with criminal offences relating to the assessment of builder registrations, in exchange for a financial benefit,” the statement says.

“These actions against key persons of interest are a result of IBAC’s Operation Perseus – an investigation into allegations of corrupt conduct at the VBA related to the assessment of builder registrations, in exchange for a financial benefit.”

The building sector has come under fire in recent months amid allegations of kickbacks, coercion, and dodgy tactics on large-scale civil projects known as the Big Build.

There have also been a litany of home builders collapse in the past two years, as cost pressures increase across the state.

The Herald Sun recently revealed that VBA enforcement action had seen one builder suspended and hit with a record fine after faking insurance policies for more than 150 permit applications.