Criminal organization that embezzled over $18 million dismantled

The Federal Police dismantled Monday (13) a criminal organization suspected of siphoning off over $18 million from the Fund for Basic Education Maintenance and Development (Fundeb, in its Portuguese acronym). The police say that gang members, who operated in the Federal District as well as in the states of Bahia, Minas Gerais, and São Paulo, rigged contracts with the assistance of public officials.

According to investigators, the criminals had been active since 2009. They started their scheme in São Paulo and later proceeded to Minas Gerais. In 2010, the ring members established their main focus in Bahia, with illicit dealings taking place in 18 municipalities in Bahia, one in Minas Gerais, and another in São Paulo.

The Federal Police reported that nearly 450 agents executed 96 search and seizure warrants and four preventive detention orders in the three states and the Federal District. The suspects will be charged with bid rigging, active and passive corruption, and criminal conspiracy.

Translated by Fabrício Ferreira