Victorian Premier Ben Carroll has committed to changing the definition of "corruption" before the Victorian state election. The legislation will expand the jurisdiction of the Independent Broad-based Anti-corruption Commission (Ibac).

Carroll announced on Tuesday his intention to introduce the legislation before the government enters caretaker mode in November. The move follows a parliamentary inquiry and the recent tabling of findings from Operation Richmond.

The Victorian parliament will sit for additional days to accommodate the Ibac legislation and to establish a special prosecutor to work in parallel with the royal commission’s investigation. He said he was "very close" to releasing the terms of reference for a royal commission into the construction sector.

"We are working very hard in terms of broad terms of reference to shine a light on what occurred, getting the best candidate to be commissioner," Carroll said. He emphasized the need for structural reform alongside the investigative processes.

"[We are] also making sure we have lasting change [by] establishing an office for a special prosecutor and also the work the special minister of state continues to do not just on the royal commission, but giving our integrity agencies – in particular Ibac – the powers it needs and deserves," Carroll said.

Special Minister of State Ingrid Stitt said her department had been working to bring forward follow-the-dollar powers, allowing Ibac to investigate the spending of public money by private contractors and subcontractors. These powers aim to close gaps in oversight regarding how public funds are utilized by external entities.

Currently, Ibac can only investigate suspected corruption that constitutes a relevant criminal offense. The agency is unable to make findings of corrupt conduct unless the conduct constitutes a relevant criminal offense.

The parliamentary inquiry recommended that the threshold be changed to capture behaviour that could include committing a disciplinary offense, misconduct worthy of termination, or instances considered in breach of public trust by a public officer. It also recommended giving Ibac the power to make and publish formal findings of corrupt conduct. The Victorian government accepted the parliamentary inquiry recommendations in principle.

Former Ibac commissioner Robert Redlich said the changes would bring Ibac jurisdiction closer to that of the NSW Independent Commission Against Corruption. He noted that the current system leaves misconduct unaddressed if it does not meet criminal standards.

"Everyone understands when a public servant receives a bribe – when money goes into their pocket as a result of what they do or fail to do – that’s a crime," Redlich said. "But as soon as you have public servants acting for other improper purposes but which don’t personally benefit them, then you’re immediately in that grey area."

Redlich argued that this limitation prevents the agency from addressing serious ethical breaches. "It doesn’t necessarily fit into conduct that merits criminal conduct, which is one of the fundamental reasons why that higher threshold has been so problematic," he said.

Why It Matters

The proposed changes address a long-standing limitation in Victoria’s anti-corruption framework, where serious misconduct that does not constitute a criminal offense falls outside Ibac’s jurisdiction. By lowering the threshold to include disciplinary offences and breaches of public trust, the government aims to align Victoria’s integrity laws with those of New South Wales and ensure that unethical behavior by public officials can be formally investigated and recorded.

The timing of the legislation, introduced before the state election and caretaker mode, signals a political commitment to resolving issues raised by Operation Richmond and the parliamentary inquiry. The establishment of a special prosecutor and follow-the-dollar powers further expands the scope of accountability, particularly for large infrastructure programs like the Big Build, where public funds are managed by private contractors.

How Sources Differ

There is also a difference in emphasis regarding the breadth of the expansion. The Integrity and Oversight Committee’s report, tabled on 4 December 2025, included 31 recommendations with respect to the legislative framework for the Independent Broad-based Anti-corruption Commission (IBAC), 29 of which were directed to the government, detailing specific procedural changes. Meanwhile, Ben Carroll statement indicates the legislation will expand the jurisdiction of the Independent Broad-based Anti-corruption Commission (Ibac) more broadly, framing it as a comprehensive enhancement of powers.