New charges filed against Brazil’s ex-president Lula

TThe Federal Prosecution Service (MPF) brought new charges against Brazil’s former president Luiz Inácio Lula da Silva on Thursday (Dec. 15), as part of Operation Car Wash corruption case. He is accused of taking bribes and laundering money. Eight other people have also been indicted, including construction tycoon Marcelo Odebrecht.

According to prosecutors, Lula was implicated in an intricate scheme to embezzle between 2% and 3% in kickbacks from Petrobras’s contracts with Odebrecht. The graft money totalled over $22 million.

The prosecutors believe the money was used to pay bribes to Lula’s Workers’ Party (PT), the Progressive Party (PP) and the now-ruling PMDB party, as well as leading to unjust enrichment of the former president. The contracts were signed by Petrobras's Downstream and Services divisions, headed by Paulo Roberto Costa and Renato Duque respectively.

In exchange for the bribes, Lula is alleged to have offered senior public sector jobs in exchange for Parliament green lights for the appointment of Costa and Duque.

According to investigators, one of the kickbacks Lula received was the construction and maintenance of the Instituto Lula headquarters in São Paulo by Odebrecht construction firm. The over $3.5 million deal is believed to have been facilitated by then-minister Antonio Palocci and one of his aides, Branislav Kontic. The two have also been charged.

The building company is alleged to have bought Lula a penthouse apartment next to his home in São Bernardo do Campo for $150,000. The frontman in the dealing was Glaucos da Costamarques, a relative of rancher and Lula’s friend José Carlos Bumlai.

Roberto Teixeira, Lula's lawyer, and former first lady Marisa Letícia were also indicted for involvement in the scandal.

“The charges were based on testimonies, seized documents, bank and tax details, and other information gathered by investigators, all of which have been attached to the case records,” the prosecutors said.

In a statement, Odebrecht declined to comment on the indictment, but reaffirmed “its commitment to cooperating with the law enforcement authorities.”

Translated by Mayra Borges