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In short:
Documents filed in the Federal Court claim the CFMEU has breached workplace law 2,600 times in more than 20 years, accumulating $24 million in fines.
The Fair Work Commission said the union had "ceased to function effectively" as it seeks to appoint administrators.
What's next?
A search for a new judge in the matter is underway after Justice Michael Weelahan declared a conflict of interest.
Embattled construction union the CFMEU and its members have broken federal law more than 2,600 times, costing the union more than $24 million in fines, new court documents claim.
The Fair Work Commission has outlined the union's history of breaches and made allegations of threats and intimidation in the construction industry as part of its Federal Court case to put independent administrators in charge of the union.
The crackdown follows media reporting about stand-over tactics and bikie infiltration, which the Fair Work general manager Murray Furlong told the court were evidence the union had "ceased to function effectively".
"Since 2003, the CFMEU has been the subject of findings of contraventions of federal workplace laws on more than 1,500 occasions, plus 1,100 contraventions by its office holders, employees, delegates and members," Mr Furlong said in a submission.
He added approximate 213 court cases had resulted in "total penalties ordered against the CFMEU of at least $24 million, plus at least $4 million ordered against its office holders, employees, delegates and members."
A dozen allegations of criminal conduct, including appointing people with criminal associations to office, threats made to construction industry participants and the soliciting of bribes have led Fair Work to act, the court documents said.
The federal government, which has intervened in the court proceeding to support Fair Work, has also banned further donations from the union, and several states have launched inquiries into allegations of misconduct.
Fair Work is seeking to have 270 union officials removed from office and appoint Victorian barrister Mark Irving KC to manage their affairs and finances for up to two years.
The branches of Victoria-Tasmania, New South Wales, Queensland-Northern Territory and South Australia would be affected, while the West Australia and ACT branches could still be taken over if the administrator found further misconduct.
Workplace Relations Minister Murray Watt is preparing to introduce legislation to force the administration process, should the CFMEU formally object.
The court documents also revealed what Fair Work suggested were unusual payments made by the CFMEU's Victorian branch to the Victorian head of the Health Workers Union, Diana Asmar.
"On or about 21 June 2023, the Vic-Tas Divisional Branch lodged with the Fair Work Commission a Statement of Loans, Grants and Donations which disclosed 10 payments totalling $186,583.10 (including GST) made by the branch to a commercial printing company," the submission said.
It said the description of the payments was "in-kind donations for Diana Asmar's HWU in-house election".
"It is not apparent which object of the CFMEU … is achieved by such transactions."
In the first Federal Court hearing on Tuesday, Justice Michael Wheelahan recused himself from the case after disclosing he acted as a barrister of the Australian Building and Construction Commission against the CFMEU and senior officials.
The court heard it would take "a little time" to find a new judge.
Barrister Brendan Avallone acting for the FWC told the court on Tuesday it had been difficult getting witnesses to give evidence.
"Given the nature of the matters that are being reported there are challenges in getting people up to the gate, if I can put it in the vernacular," he said.
The FWC submission also described steps taken by the CFMEU in response to serious allegations raised in the media as "limited in nature."
Victorian CFMEU boss John Setka resigned a day before Nine newspapers' investigation was published.
Zach Smith, the union's national secretary who was appointed following Mr Setka's resignation, has since sacked eight Victorian union delegates with links to outlaw bikie gangs and appointed lawyers to investigate the media reports, the FWC said.
In a video statement posted to Instagram, Mr Smith said the union had asked the Fair Work Commission for more information about its application and would meet with the tribunal this week.
He said the Master Builders Association, which represents the building industry, had used the controversy surrounding the union to "attack wages and conditions".
"They have produced unpublished reports with dubious sources claiming that construction workers are responsible for cost blowouts and time delays on government projects," he said.
"There is no evidence base for these figures."