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Brazil ex-president Lula charged as 'top boss' of Petrobras corruption scheme
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Publicado em 14 de set de 2016
Prosecutors
in Brazil have formally charged the country's ex-President Lula
da Silva of being the 'top boss' in a giant kickback scheme at
state oil company Petrobras.
"Today the Federal Public Prosecution accuses Mr Luiz Inacio Lula da Silva of being the general in command of a vast corruption scheme identified as operation car wash,'' Public Prosecutor Deltan Dallagno said.
Investigators allege the scam at Petrobras amounted to the equivalent of more than 11 billion euros in loses, claimi…
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"Today the Federal Public Prosecution accuses Mr Luiz Inacio Lula da Silva of being the general in command of a vast corruption scheme identified as operation car wash,'' Public Prosecutor Deltan Dallagno said.
Investigators allege the scam at Petrobras amounted to the equivalent of more than 11 billion euros in loses, claimi…
READ MORE : http://www.euronews.com/2016/09/15/br...
What are the top stories today? Click to watch: https://www.youtube.com/playlist?list...
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Brazil ex-president Lula charged as 'top boss' of Petrobras corruption scheme
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Prosecutors
in Brazil have formally charged the country’s ex-President Lula da
Silva of being the ‘top boss’ in a giant kickback scheme at state oil
company Petrobras.
“Today
the Federal Public Prosecution accuses Mr Luiz Inacio Lula da Silva of
being the general in command of a vast corruption scheme identified as
operation car wash,’‘ Public Prosecutor Deltan Dallagno said.
Investigators
allege the scam at Petrobras amounted to the equivalent of more than 11
billion euros in loses, claiming political appointees and allies of the
Lula’s leftist Workers Party approved overpriced contracts to
engineering firms in return for illicit party funding.
They also say Brazil’s former president personally received nearly a million euros in bribes, including a luxury flat.
Lula
and his wife, who was also charged, along with six others, deny any
wrong-doing, but the scandal is widely seen as a major blow to the
popular leader’s hopes of making a political comeback and running for
the presidency in 2018.
It
also marks a dramatic fall from grace for the leftist Worker’s Party
that Lula founded, coming on top of last month’s impeachment of his
successor as president, Dilma Rousseff.
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Edition: Français
Brésil : le parquet demande la mise en examen de Lula pour corruption See translation
Auto-Translated
Edition: Deutsch
Brasilien: Anklage gegen Expräsident Lula da Silva - wegen Korruption im großen Stil See translation
Auto-Translated
Edition: Italiano
Scandalo Petrobras: Lula accusato di essere il collettore di gigantesco giro di mazzette See translation
Auto-Translated
Edition: Español
La Fiscalía brasileña acusa a Lula de ser el "comandante máximo" de la corrupción en Petrobras See translation
Auto-Translated
Edition: Português
Ministério Público brasileiro acusa formamente Lula da Silva de corrupção See translation
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Edition: Türkçe
Eski Brezilya Cumhurbaşkanı Lula'ya savcılardan yolsuzluk suçlaması See translation
Auto-Translated
Edition: Українська
Екс-президента Бразилії офіційно звинуватили у керівництві корупційною схемою See translation
Auto-Translated
Edition: Pусский
Прокурор Бразилии: экс-президент Лула да Силва стоял во главе коррупционной схемы Petrobras See translation
Auto-Translated
Edition: العربية
الادعاء العام الفيدرالي البرازيلي يتهم رسميا لُولاَ دَا سِيلْفَا بالفساد See translation
Auto-Translated
Edition: فارسی
لولا دا سیلوا، رئیس جمهوری سابق برزیل رسما متهم شد See translation
Auto-Translated
Edition: Ελληνικά
Βραζιλία: «Εγκέφαλος» του σκανδάλου Petrobras ο Λούλα ντα Σίλβα See translation
Auto-Translated
Edition: Magyar
Brazília: a korábbi államfő lett a Petrobras-botrány fővádlottja See translation
Auto-Translated
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Lula da Silva charged with corruption by Brazil prosecutors
Former president accused of being ‘commander-in-chief’ of kickback scheme at PetrobrasRead latest:
Brazil’s corruption probe tightens its noosePrint this page
by: Samantha Pearson and Joe Leahy in São Paulo
Brazil’s
former president, Luiz
Inácio Lula da Silva, has been charged with corruption, with
federal prosecutors accusing him of being the “commander-in-chief”
of a kickback scheme at state oil company Petrobras.
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In a move
set to heighten political tension in Latin America’s largest
country and further weaken his once dominant Workers’ party, Mr
Lula da Silva was on Wednesday accused of involvement in corruption
and money laundering amounting to about R$91m ($27m) and holding on
to power through a “bribocracy”.
“Lula not
only knew about the corruption scheme, he was in command,” said
Deltan
Dallagnol, the prosecutor leading the investigation, known as
Lava Jato
(Car Wash), on Wednesday. He said he believed Mr Lula da Silva had
continued to run the scheme after leaving the presidency in 2010.
Mr Lula da
Silva’s lawyers vehemently denied the allegations, describing the
prosecutors’ accusations as “blabber” without any proof.
The
charges, the first laid by federal prosecutors against the former
president, promise to further anger PT supporters and complicate
efforts by President
Michel Temer to implement reforms desperately needed to stabilise
an economy suffering its deepest recession in decades.
The PT is
furious over the impeachment
last month of Dilma Rousseff, Mr Lula da Silva’s handpicked
successor, for manipulating the budget and her replacement by Mr
Temer, her former vice-president. The PT has been leading almost
daily protests
against the new government.
Prosecutors
said on Wednesday they had also filed charges against Mr Lula da
Silva’s wife, Marisa Letícia Lula da Silva, and Paulo Okamoto, the
head of the former president’s think-tank, the Lula Institute, as
well as several construction industry chiefs in connection with the
bribery and kickback scheme.
“Lula was
the master of this great orchestra created to loot Petrobras and
other public institutions,” said Mr Dallagnol.
Sérgio
Moro, the anti-corruption judge who is overseeing the investigation
into , will now decide whether to accept the case and formally put Mr
Lula da Silva on trial.
Related article
Investment
banker André Esteves among those facing obstruction of justice case
in Brazil
At the
centre of the charges is a penthouse apartment in the coastal resort
of Guarujá that prosecutors allege was secretly acquired and
renovated at great cost for Mr Lula da Silva’s family by OAS, one
of the construction groups accused of paying bribes in return for
contracts in the Petrobras scandal.
OAS was
also accused of paying a large monthly rent for the storage of some
of the former president’s goods in a warehouse for five years after
his term ended in 2010.
The former
president was charged by state prosecutors in March over money
laundering and hiding assets in connection to the apartment.
Mr Lula da
Silva’s lawyers said there was no evidence the former president or
his wife owned the apartment and accused the prosecutors of
presenting a flimsy case based on supposition.
“It is a
narrative that is completely incompatible with reality and the
facts … they were not even aware of, let alone part of, any
criminal scheme,” said Cristiano Zanin, one of Mr Lula da Silva’s
lawyers on Wednesday evening.
Mr Lula da
Silva hit back at prosecutors in an impassioned speech on Thursday in
which he broke down in tears on several occasions.
Making
little mention of the charges themselves, he spent over an hour
defending his legacy and his efforts to help Brazil’s poor,
accusing the prosecutors and part of the media of conspiring to end
his political career.
“They
created a lie, constructed an untruth as if it were the plot of a
soap opera,” he said. “If they can prove that I was corrupt, I’ll
walk to prison myself,” he added defiantly.
Analysts
said the case might weaken Mr Lula da Silva’s chances of a comeback
in the 2018 elections and the PT’s electoral chances in municipal
elections in October.
But these
were already low given the poor state of the economy and the
corruption scandal. Brazil was facing a vacuum of strong potential
leaders for the 2018 elections but that would not necessarily help Mr
Lula da Silva, they said.
“In
Brazil, there is a lack of new national leaders with the charisma he
[Mr Lula da Silva] has and the visibility he has and that’s what
gives him a little bit of hope,” said João Augusto de Castro Neves
of Eurasia Group. “But his rejection numbers are very, very high.”
Additional
reporting by Carina Rossi in São Paulo
Copyright
The Financial Times Limited 2016. All rights reserved. You may share
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Brazil’s corruption probe tightens its noose
Former president Lula da Silva hits back at prosecutors as Petrobras case reaches climaxTourists steer clear of Brazil, Russia, India and Nigeria
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UK electronics group Premier Farnell, distributor of the Raspberry Pi microcomputers, says it’s on track to wrap up its merger with Avnet later this year, but it’s having a rough run in the Americas region.Brazil ex-president Lula charged with corruption
Brazilian prosecutors have accused former president Luiz Inácio Lula da Silva of being the “commander-in-chief” of the country’s vast corruption scandal at state oil company Petrobras in a move that is set to unleash further political turmoil in the Latin American nation.Vale targets profits over volume at flagship iron ore project
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News | Wed Sep 14, 2016 | 8:23pm EDT
Brazil's Lula charged as 'top boss' of Petrobras graft scheme
Brazil's
President Luiz Inacio Lula da Silva talks with his wife Marisa
Leticia during a ceremony at Planalto Palace in Brasilia, June 26,
2007. REUTERS/Jamil Bittar/File Photo
By Sergio
Spagnuolo | CURITIBA, Brazil
Brazilian
prosecutors charged ex-President Luiz Inacio Lula da Silva on
Wednesday with being the "boss" of a vast corruption
scheme at state oil company Petrobras, in a major blow to the
leftist hero's hopes of a political comeback.
It was the first time that
Lula, still Brazil's most popular politician despite corruption
accusations against him and his Workers Party, was charged by
federal prosecutors for involvement in the political kickbacks
scheme at Petroleo Brasileiro (PETR4.SA),
as the company is officially known.
Public
Prosecutor Deltan Dallagnol told a news conference that Lula will
be charged with corruption and money laundering for leading a
kickback scheme that caused an estimated 42 billion reais ($12.6
billion) in losses to Petrobras shareholders and tax payers.
ADVERTISING
"He
was the conductor of this criminal orchestra," Dallagnol said
during a detailed presentation of the investigation. "The
Petrobras graft scheme aimed at keeping the Workers Party in power
by criminal means."
Lula's
lawyers said prosecutors lacked evidence to back up their
accusations which were part of political persecution to stop him
running in the 2018 election.
"This
Lula-centered farce was trumped up as an affront to the democratic
state and intelligence of Brazilian citizens," one of Lula's
lawyers, Cristiano Zanin, told reporters in Sao Paulo.
Dallagnol
stopped short of saying investigators would seek an arrest order
for Lula, who became a hero to many poor Brazilians during his
2003-2010 government.
The
two-year-old Operation Carwash anti-corruption investigation, based
in the southern Brazilian city of Curitiba, has uncovered how
political appointees named by Lula's Workers Party and its allies
handed overpriced contracts to engineering firms in return for
illicit party funding and bribes.
The
scandal helped topple the Workers Party from power last month by
crushing the popularity of Lula's chosen successor, Dilma Rousseff.
She was impeached by Congress on unrelated charges of breaking
budget rules, amid rising anger over her handling of Brazil's worst
recession since the 1930s.
Dallagnol
said that Lula, because of his control of the machinery of the
Workers Party and the Brazilian government, was the central figure
in the scheme.
Prosecutors
allege that the charismatic former union leader had personally
received some 3.7 million reais ($1.11 million) in bribes,
including a luxury apartment on the coast of Sao Paulo from one of
the engineering and construction firms at the center of the bribery
scandal, OAS.
Lula's
case will go before crusading anti-corruption Judge Sergio Moro,
who has jailed dozens of executives and others involved in the
scheme.
Lula
has separately been indicted by a court in Brasilia for obstruction
of justice in a case related to an attempt to persuade a defendant
in the Petrobras scandal not to turn state's witness.
Lula,
70, has not ruled out running again for president in 2018, but a
criminal conviction would bar him from being a candidate for the
next eight years.
A
one-time shoeshine boy and union leader who led massive strikes
against Brazil's military dictatorship, contributing to its
downfall, he was elected the nation's first working class president
in 2002 after three failed campaigns.
Wildly
popular with Brazil's poor, Lula's social policies helped yank
millions out of poverty and into the middle class, and he left
office in 2010 with an 83-percent approval rating and an economy
that grew at a blistering 7.5 percent.
But
two years ago, as the Petrobras probe became public, prosecutors
began to slowly put Lula in their crosshairs.
Many
prosecutors and investigators say they cannot imagine such a
powerful figure was unaware of the institutionalized corruption and
political kickbacks taking place at Petrobras and other state-run
companies.
Marcos
Troyjo, a former Brazilian diplomat and co-director of Columbia
University's BRICLab in Rio de Janeiro, said he thinks Wednesday's
charges are the first of many Lula will be facing in the coming
months.
"That
means the Workers Party, which may have thought it would move
comfortably into the opposition after Dilma's impeachment, will
confront extreme challenges," said Troyjo. "It's
certainly the beginning of the end to Lula's presidential
aspirations for 2018."
Recent
polls have shown that despite the investigations targeting Lula and
the Workers Party, he would be a favorite to win the next
presidential election.
"But
these charges are likely too big a blow to the political myth of
Lula, to the candidate Lula and to the Workers Party as a whole for
that to happen," Troyjo said.
(Reporting by Sergio
Spagnuolo; Writing by Anthony Boadle and Brad Brooks; Editing by
Andrew Hay and Bill Rigby)
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‘Lula,’ Brazil’s Ex-President, Is Charged With Corruption
Photo
The
former Brazilian president Luiz Inácio Lula da Silva during a news
conference in March. Credit Lalo de Almeida for The New York Times
RIO DE
JANEIRO — Federal prosecutors in Brazil
filed corruption charges Wednesday against Luiz
Inácio Lula da Silva, the former president who has wielded
influence across Latin America for decades, portraying him as the
mastermind of a sprawling graft scheme intended to maintain his
party’s grip on the presidency.
Deltan
Dallagnol, a prosecutor, called Mr. da Silva the “ultimate
commander” of bribery and kickback schemes that allowed his
leftist Workers’ Party to build coalitions in Congress,
describing him as “the general” at the helm.
The
actual charges against Mr. da Silva, who was president from 2003 to
2010, focus on a much narrower claim: Prosecutors accuse Mr. da
Silva and his wife of illegally receiving about $1.1 million in
improvements and expenses for a beachfront apartment paid for by a
large construction company seeking public contracts.
But
beyond the specific charges, which must still be accepted by a
judge, the prosecutors said Mr. da Silva had been instrumental in a
bigger corruption scheme that has thrown Brazil’s political
system into turmoil for more than two years.
In their
complaint on Wednesday, prosecutors contended that Mr. da Silva had
overseen a far-reaching system of illicit payments, kickbacks and
campaign donations in which the construction company O.A.S. paid as
much as $26 million to obtain contracts from Brazil’s oil giant,
Petrobras.
The
prosecutors did not claim that Mr. da Silva personally pocketed
that money. Instead, they asserted that it went to oil executives,
Workers’ Party leaders and lawmakers in the governing coalition
to help maintain the party’s grip on power. The prosecutors are
now demanding that Mr. da Silva return that amount of money to
public coffers.
The
charges and broader allegations are a major blow to Mr. da Silva,
adding to a mounting list of legal problems that have complicated
his ambitions of returning to the presidency.
Just a
few years ago, Mr. da Silva, a former labor leader who never
finished elementary school, ranked among Brazil’s most powerful
politicians. His party held the president’s office for 13 years,
overseeing a period of brisk economic growth during which millions
were lifted out of poverty.
But
bribery scandals and a severe economic crisis have tarnished his
legacy, ending with the ouster of his handpicked successor, Dilma
Rousseff, who was
removed by the Senate in August in a contentious impeachment
trial.
Prosecutors
in São Paulo had already filed
corruption charges against Mr. da Silva at the state level in
March, arguing that he had sought to conceal his ownership of the
apartment.
Mr. da
Silva will also stand
trial on charges of obstructing the investigation into the
bribery scheme surrounding the national oil company, Petrobras, a
federal judge ruled last month.
Nearly 40
politicians and business leaders have been jailed since prosecutors
discovered the Petrobras scheme in 2014.
In all,
investigators say that contractors paid nearly $3 billion in bribes
to executives at the oil giant, who pocketed some of the gains
while also channeling funds to politicians in the governing
coalition led by the Workers’ Party.
Mr. da
Silva and his lawyers have repeatedly said that he did nothing
illegal in relation to the apartment in Guarujá, a seaside city
near São Paulo.
But
investigators said O.A.S., a large Brazilian construction company,
had illegally paid for a series of improvements at the property.
Prosecutors also filed corruption charges against the former chief
executive of O.A.S.
Mr. da
Silva’s lawyers, Cristiano Zanin Martins and Roberto Teixeira,
said in a statement that the charges and the broader allegations
“attack the democratic rule of law and the intelligence of
Brazilian citizens,” and that their client was innocent.
The
charges were filed after months of simmering tension related to Mr.
da Silva’s legal battles.
Federal
Police agents raided his home in March and briefly held him for
questioning. After that, Ms. Rousseff, the president at the time,
offered him a cabinet post that would have given him broad
legal protections from being jailed. But Brazil’s Supreme
Court blocked the nomination.
Rui
Falcão, the president of the Workers’ Party, described the
latest charges as an effort to hamper Mr. da Silva’s involvement
in politics. Mr. da Silva has signaled that he plans to run for
president again in 2018, and polls have placed him among the
leading contenders.
“These
charges were expected as part of an effort to criminalize Lula,”
Mr. Falcão said.
The
amount of money that Mr. da Silva is accused of receiving in the
form of an apartment upgrade pales in comparison with what others
have been accused of pocketing in recent years.
Eduardo
Cunha, the conservative former speaker of the lower house of
Congress, who orchestrated the effort to oust Ms. Rousseff, is
charged with taking as much as $40 million in bribes and
laundering them through an evangelical megachurch. And Sérgio
Machado, a former chief executive of a Petrobras unit who was a
member of the centrist party of Brazil’s new president, Michel
Temer, has agreed to return more than $20 million in bribes.
Brazil’s
entire political system is struggling to react to the steady drip
of charges and revelations from various bribery scandals. The new
administration of Mr. Temer, the former vice president who engaged
in a bitter power struggle with Ms. Rousseff, is facing dismal
approval ratings and doubts about its legitimacy after various
cabinet ministers were forced out of their posts over reports that
they were seeking to stymie corruption inquiries.
Mr.
Temer’s former attorney general, Fábio Medina Osório, claimed
over the weekend that he had been fired after seeking damages from
construction companies involved in the Petrobras scheme.
Mr.
Medina Osório told the magazine Veja that Mr. Temer’s government
was seeking to “smother” the inquiry, which is popularly known
as Car Wash, after a gas station in Brasília that a black-market
money dealer used to launder bribes and kickbacks.
Heightening
the sense of distrust, some figures involved in the scheme have
been secretly recording one another, with the idea of using the
information to reach plea deals with prosecutors.
Follow
Simon Romero on Twitter @viaSimonRomero.
Paula
Moura contributed reporting from São Paulo, Brazil.
A version of this article appears in print on September 15,
2016, on page A6 of the New York edition with the headline:
Brazil’s Ex-President Is Charged With Graft. Order
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THE END
"Today the Federal Public Prosecution accuses Mr Luiz Inacio Lula da Silva of being the general in command of a vast corruption scheme identified as operation car wash,'' Public Prosecutor Deltan Dallagno said.
Investigators allege the scam at Petrobras amounted to the equivalent of more than 11 billion euros in loses, claimi…
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