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Prime Minister Tony Abbott is expected to launch a multi-state police taskforce to investigate suspected ties between organised crime and union officials when he campaigns with Victorian Premier Denis Napthine for the first time on Friday.
The pair are expected to make the joint announcement at an event in Melbourne on Friday morning, marking Mr Abbott's first entry into the state election campaign.
Fairfax Media last week exclusively revealed that federal and state police, as well tax office personnel, had been asked to contribute to the taskforce, which could have as many as 35 members.
Melbourne is set to be the home for the Joint Police Taskforce into Industrial Criminality and Corruption, which could bring in police from NSW and Queensland. It will cross state borders but be under the direction of the royal commission.
It will crack down on union officials and others engaged in blackmail, cartel behaviour, extortion, boycotts, kickbacks and intimidation, according to a News Ltd report.
While the focus will be on unions, police will also investigate corrupt employers, debt collectors and mediators.
Underworld figures such as Mick Gatto, who work as "mediators" in the construction industry, are likely to come under the spotlight.
"There is no place for standover tactics, violence or intimidation in Australian workplaces," Mr Abbott told News Ltd.
"To generate jobs and grow businesses, workplaces must be safe, productive and law-abiding."
The taskforce is being established after Justice Dyson Heydon, who is overseeing the royal commission into union corruption, reportedly urged police action be taken on criminality uncovered at the hearings.
"The evidence of corrupt behaviour, unlawful kickbacks and standover tactics in the construction industry has made it clear that there is a need for a joint police taskforce to fully investigate this corrupt activity," Dr Napthine said.
"The taskforce will have all the powers currently available to the AFP and participating state police officers."
Crimes such as assault will be investigated under Victorian laws. Officers will also investigate extortion and boycotting of building sites under federal industrial law.
This comes as the Napthine government calls for the power to deregister unions where there is sufficient evidence of criminal behaviour.
In a submission to the Royal Commission into Trade Union Governance, Victoria argues that the commission has already received enough evidence of wrongdoing by the powerful Construction, Forestry, Mining and Energy Union to consider deregistration - or to change the laws to allow the states to do so.
According to a report in The Australian Financial Review, the submission says: "The state of Victoria submits that consideration may be given, either at this stage or after receiving further evidence, as to whether it would be appropriate to recommend for the cancellation of the registration of the CFMEU".
CFMEU national secretary Dave Noonan has told ABC774 that the union would welcome police "putting resources into investigating crime in the construction industry or anywhere else".
But Mr Noonan rejected the Napthine government's submission to the Royal Commission that there was already enough evidence to deregulate the union.
"If the proof is there, as they say, bring it on."
Mark Ney, a former Australian Federal Police assistant commissioner, is expected to be in overall command of the taskforce.
Mr Ney left the AFP in 2009 after 25 years' service in a range of senior positions, including, responsibility for northern operations from 2001-03; human resources from 2003-06; and protection from 2006-09.
Since leaving the force he has worked as a consultant. He returned to the AFP in 2011 to manage the Federal Police College.
A spokesman for the royal commission last week confirmed the taskforce was in the early stages of the planning process.
Mr Abbott and Dr Napthine have been at loggerheads this week over the government's move to re-introduce the indexation of fuel excise, which Dr Napthine criticised.
Dr Napthine was also critical of aspects of Mr Abbott's call for a mature debate about reforming the federation.
But the pair have worked closely together on the East West Link, with Mr Abbott handing Victoria $3 billion in federal funds for the project.
Mr Abbott told Parliament earlier this week that he was looking forward to campaigning in Victoria, a statement which alarmed some Victorian Liberals.
Dr Napthine is facing a tough fight to hang on to the top political job in Victoria against Labor challenger Daniel Andrews.
Some Victorian Liberals have suggested that Mr Abbott, who is not popular in Victoria, may drag down Dr Napthine's vote in the state contest.
- with Tom Cowie