Corruption buster Geoffrey Watson says his fears for ‘retribution’ eased by arrest of bikie Joel Leavitt

Corruption-busting barrister Geoffrey Watson SC feared retribution after giving testimony to the CFMEU inquiry in Queensland this week, but said news that a “dangerous character” had been arrested significantly eased his nerves.

The comments came as the inquiry heard of the union’s bikie and organised crime links, the alleged activity of several figures straddling Queensland and Victoria, and claims underworld identity Mick Gatto and the CFMEU may have permanently damaged the southern state’s economy.

High-profile bikie figure and former CFMEU representative Joel Leavitt was arrested by Victorian police on Thursday morning and charged over an alleged attempt to extort a building contractor.

Taking the stand for a second day hours later in Brisbane, Watson said he had left the courtroom on Wednesday concerned about possible backlash from underworld figures.

“I don’t usually suffer from this, but I was a little bit worried about some retributions,” he told the inquiry.

“And I felt a lot easier when I [saw he was] behind bars … my own judgment is he is an extremely dangerous character.”

Leavitt originally came from Queensland, and followed others including Joe and Mick Myles to Melbourne after ousted Queensland CFMEU leader Michael Ravbar pushed union figures out to exert greater control following its merger with the former Builders Labourers Federation.

“This is what I believe to be the case,” Watson said, noting the information had proven difficult to track down.

“I don’t want to tread on too many toes, but Queenslanders caused a lot of trouble down there,” he continued, adding he had evidence at least three others had since returned to Queensland.

Watson described the $530 million Hurstbridge Rail Line Upgrade as “chock-a-block” with outlaw motorcycle gangs and an example of a public infrastructure project over time and budget. It showed the entanglement of the CFMEU, gangs and organised crime, he said.

He also walked the inquiry through the alleged methods Gatto used to extort building contractors with threats of the CFMEU shutting down sites and offers to mediate after they did.

Asked by counsel assisting the inquiry Marc Costello KC if a comment in his report that Gatto and his influence over the union may have permanently damaged the Victorian economy was hyperbolic, Watson replied: “not at all”.

The union investigator described a phone call with a former colleague on Thursday, who knew workers in the state’s medical sector who could no longer get enough funding.

“Part of that economic problem in Victoria has come about by [cost blowouts] in the Big Build,” he said.

Meanwhile, Watson said gangland associate John Khoury – who “also works an extortion racket in Queensland” and may have brought Comanchero bikies to the state – was brought in by another associate of Gatto, Nic Maric, to negotiate with the CFMEU on behalf of a Gold Coast developer.

“He [the developer] was there, and he was asked to leave. He was sent an invoice, and his problems evaporated,” Watson said.