Setka alleges betrayal and secret deal with federal government

Former CFMEU boss John Setka has accused the federal government of betraying him in an alleged secret deal, claiming in a television interview that an agreement had been struck where his resignation would ensure the union was not put into administration.

Speaking on Channel Seven’s Spotlight program on Sunday night, the controversial union figure alleged that former workplace relations minister Tony Burke agreed to the deal and said he had once left Prime Minister Anthony Albanese “scared” after the two shared a lift.

John Setka (centre) quit the CFMEU before the publication of a story detailing bikie and underworld infiltration of construction sites.Credit: Michael Quelch

Setka resigned as secretary of the Victorian and Tasmanian branch of the CFMEU in July following questions sent to his office by The Age, Sydney Morning Herald, The Australian Financial Review and 60 minutes at the start of its Building Bad investigation into alleged corruption, standover tactics and links to organised crime.

Every branch in the country was placed into administration on Friday after the Commonwealth, responding to the investigation, secured the passage of legislation that would allow a takeover of the union for up to three years.

But Setka said on Channel Seven that he had been told on the day of his resignation that the union would be “left alone” and not put under administration if he departed.

He said he had made the initial offer, which was passed on to CFMEU national secretary Zach Smith, with conversations allegedly taking place with Burke and “I assume [ACTU secretary] Sally McManus”.

John Setka appeared on Spotlight alleging a deal was put in place with Tony Burke.

“At 20 to six the call came through, yes there’s a deal,” Setka said.

The former union boss also alleged that Burke had told others there would be “no surprises”, but said this message was not made directly to him.

“The whole [CFMEU] national executive, all the secretaries all know about it,” he said.

“I was absolutely disgusted [when administrators were appointed]. I think Tony Burke has betrayed construction workers in Australia.”

The tattoo Setka recently had done.Credit: Instagram

When talking about his relationship with Albanese, Setka said he believes he scared the prime minister during an “incident” in a lift.

“It wasn’t really much of a conversation, to be quite honest,” he said.

“I didn’t say anything bad to him … Yeah he was scared.

“When someone starts trembling, you know they’re scared. But I hadn’t even said a word.”

Setka also defended dropping a suitcase bearing the words “Leo the Dog” outside the house of CFMEU assistant national secretary Leo Skourdoumbis, arguing that he lived nearby and the baggage belonged to Skourdoumbis.

“Returning a suitcase to someone that is owned by them is a threat now is it?” he said.

“If that’s intimidating, I think people maybe oughta drink a cup of concrete and harden up a little bit.”

Setka said he wasn’t proud of threatening text messages sent to his wife Emma Walters and that he had owned up to doing a “silly thing”.

Emma Walters outside Melbourne Magistrates’ Court last year.Credit: Justin McManus

“It does fall into domestic violence ... well, everything falls [into the] domestic violence category these days,” he said.

“Me and my wife have moved on. We’re getting through it, and we’re working through it with our kids, and our number one priority is our children.”

The controversial figure said bikies had been working in the building industry “since Jesus wore shorts” but he argued it was not the CFMEU’s job to ask about these associations and that some members of bikie gangs had never had convictions recorded against them.

Setka questioned why contractors would pay cash to secure enterprise agreements with the union when “you can just walk in off the street and get an EBA”, but he stopped short of denying that people within the union may be collecting cash while promising to get the deals done.

“I’m not saying it doesn’t happen, but I’d be very, very surprised if that was happening because it just doesn’t make any sense,” he said.

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