By Delisa Morris
Impunity Watch Reporter, South America
BRASILIA, Brazil — The warrant compelling Brazil’s ruling Worker’s Party’s treasurer to testify was just one of 62 arrest, search and other legal orders police issued Thursday in the investigation into an enormous kickback scheme at the state-run oil company Petrobras.
Treasurer Joao Vaccari Neto, was one of the people implicated by a former Petrobras director who was arrested last year, was order to testify about his knowledge of the scheme.
“We want to obtain information regarding donations he requested, legal, or illegal, involving people who had contracts with Petrobras,” federal prosecutor Carlos Lima stated at a news conference.
Vaccari arrived at federal police headquarters in Sao Paulo to be questioned, shortly after the conference.
Brazillian prosecutors have noted that the kickback scheme involved at least $800 million in bribes and other illegal funds. Some of that money was funneled to the campaign funds of the Workers’ Party and other allies, often described as legal corporate donations.
The federal prosecutors have said they’ve recorded about $170 million involved in the scheme and more than 230 businesses of all sizes are being investigated for their participation in the scheme. According to the prosecutors 86 people so far are facing charges, including several top executives from Brazil’s main construction and engineering firms who have already been jailed.
The prosecutors are also expected this month to announce charges against more than a dozen politicians, mostly congress members, in connection the the case.
The warrants came just one day after Petrobras CEO, Maria das Gracas Foster, the chief executive handpicked in 2012 by Brazilian President Dilma Rousseff, and five top directors resigned from the company. The departures were announced Wednesday morning with a succinct, one-sentence statement posted on the company website, a quick let down after days of rumors surrounding the resignations.
The statement noted that the executives would be replaced on Friday.
Furthermore Thursday, Eduardo Cunha president of the lower house Chamber of Deputies approved the creation of a congressional panel to investigate the kickback scheme. Specifically, the panel will investigate the “practice of illicit acts and irregularities at Petrobras between 2005 and 2015,” Congress’ website said.
Petrobras is a sad story for its investors worth $310 billion at its peak in 2008, a valuation that made it the world’s fifth-largest company, is just worth $48 billion today.
For more information, please see:
ABC News – Warrants Issued in Brazil’s Petrobras Corruption Scandal – 5 Feb. 2015
NY Times – Petrobras Executives Quit Amid Scandal – 4 Feb. 2015
St. Louis Post-Dispatch – Petrobras, $262 billion poorer, exposes busted Brazil dream – 5 Feb. 2015
the guardian – Oil giant boss quits as Brazil corruption scandal puts pressure on president – 4 Feb. 2015
