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Sérgio Cabral, Ex-Governor of Rio de Janeiro, Arrested on Corruption Charges Sérgio Cabral, Ex-Governor of Rio de Janeiro, Arrested on Corruption Charges
(about 1 hour later)
RIO DE JANEIRO — The former governor of Rio de Janeiro, who helped bring the Summer Olympics to the city, was arrested on Thursday in a scheme that the authorities said siphoned tens of millions of dollars from huge public construction projects.RIO DE JANEIRO — The former governor of Rio de Janeiro, who helped bring the Summer Olympics to the city, was arrested on Thursday in a scheme that the authorities said siphoned tens of millions of dollars from huge public construction projects.
Federal prosecutors say they suspect that the former governor, Sérgio Cabral, led an organized crime ring that diverted at least 224 million reais, or about $64 million, in bribes for the renovation of Maracanã Stadium before the 2014 Word Cup and two other projects, according to the prosecutors. Federal prosecutors say they suspect that the former governor, Sérgio Cabral, led an organized crime ring that diverted at least 224 million reals, or about $64 million, in bribes for the renovation of Maracanã Stadium before the 2014 Word Cup and two other projects, according to the prosecutors.
Mr. Cabral led the State of Rio de Janeiro from 2007 to 2014, boom times for Rio and the nation that ended with a brutal recession. He resigned amid suspicions of corruption and growing street protests.Mr. Cabral led the State of Rio de Janeiro from 2007 to 2014, boom times for Rio and the nation that ended with a brutal recession. He resigned amid suspicions of corruption and growing street protests.
The former governor insisted on a 5 percent payoff per construction project, in addition to another 1 percent for one of his aides, Lauro Coelho Jr., a federal prosecutor in Rio de Janeiro, said at a news conference on Thursday, and received monthly payments between 2007 and 2014. Mr. Cabral insisted on a 5 percent payoff per construction project, in addition to another 1 percent for one of his aides, Lauro Coelho Jr., a federal prosecutor in Rio de Janeiro, said at a news conference on Thursday, and received monthly payments between 2007 and 2014.
The prosecutor said one construction company, Andrade Gutierrez, agreed to make payments of more than $100,000 a month for at least a year. Carioca Engenharia, another company, made monthly payments of some $60,000 during Mr. Cabral’s first term, Mr. Coelho said, adding that in his second term the monthly bribes jumped to about $150,000. Mr. Coelho said one construction company, Andrade Gutierrez, agreed to make payments of more than $100,000 a month for at least a year. Carioca Engenharia, another company, made monthly payments of some $60,000 during Mr. Cabral’s first term, Mr. Coelho said, adding that in his second term the monthly bribes jumped to about $150,000.
Mr. Cabral’s arrest reflects how figures across the ideological spectrum in Brazil’s political class remain on edge as major graft investigations advance. The Workers’ Party of former President Dilma Rousseff, who was ousted in August on charges of budgetary manipulation, suffered major losses in recent municipal elections after the party was ensnared in various scandals.Mr. Cabral’s arrest reflects how figures across the ideological spectrum in Brazil’s political class remain on edge as major graft investigations advance. The Workers’ Party of former President Dilma Rousseff, who was ousted in August on charges of budgetary manipulation, suffered major losses in recent municipal elections after the party was ensnared in various scandals.
For much of this year, Brazil has been rived with a series of political dramas that began with a corruption scandal looming ever larger over civic life, and culminated with Ms. Rousseff’s impeachment over the summer. For much of this year, Brazil has been shaken by a series of political dramas that began with a corruption scandal looming ever larger over civic life, and continued with Ms. Rousseff’s impeachment over the summer.
Mr. Cabral, while governor, was an ally of Ms. Rousseff and her predecessor Luiz Inácio Lula da Silva.Mr. Cabral, while governor, was an ally of Ms. Rousseff and her predecessor Luiz Inácio Lula da Silva.
Federal police officers picked up Mr. Cabral at his house in the beachfront Rio neighborhood of Leblon on Thursday morning.Federal police officers picked up Mr. Cabral at his house in the beachfront Rio neighborhood of Leblon on Thursday morning.
Mr. Cabral, a member of the centrist Brazilian Democratic Movement Party of the new president, Michel Temer, is the second major political figure from that party to be arrested in recent months. The other was Eduardo Cunha, who resigned in July as speaker of the lower house of Parliament.Mr. Cabral, a member of the centrist Brazilian Democratic Movement Party of the new president, Michel Temer, is the second major political figure from that party to be arrested in recent months. The other was Eduardo Cunha, who resigned in July as speaker of the lower house of Parliament.
Multiple calls made to Mr. Cabral’s spokeswoman and his lawyers went unanswered.Multiple calls made to Mr. Cabral’s spokeswoman and his lawyers went unanswered.
A statement from the prosecutor’s office said that Mr. Cabral was one of eight people for whom arrest warrants had been issued. Additionally, 38 search and seizure warrants were issued, including for property of Mr. Cabral’s wife, Adriana Ancelmo.A statement from the prosecutor’s office said that Mr. Cabral was one of eight people for whom arrest warrants had been issued. Additionally, 38 search and seizure warrants were issued, including for property of Mr. Cabral’s wife, Adriana Ancelmo.
This week, another former governor of Rio de Janeiro, Anthony Garotinho, was arrested on accusations of voter fraud. The state has been shaken by rising crime and is struggling to pay employees and maintain basic public services.This week, another former governor of Rio de Janeiro, Anthony Garotinho, was arrested on accusations of voter fraud. The state has been shaken by rising crime and is struggling to pay employees and maintain basic public services.
Federal judge Sérgio Moro, who issued one of the warrants, listed the Rio budget crisis among the reasons for the former governor’s arrest. He wrote in his judicial order that, “this was even more necessary given the notorious situation of the ruinous public finances of the government of Rio de Janeiro.” Sérgio Moro, a federal judge Sérgio Moro who issued one of the warrants, cited the Rio budget crisis as among the reasons for the former governor’s arrest. He wrote in his judicial order that, “this was even more necessary given the notorious situation of the ruinous public finances of the government of Rio de Janeiro.”
Mr. Cabral arrived at the notoriously rough Bangu prison complex on Thursday night, where more than two dozen Brazilians waited outside to cheer his imprisonment. Many sang songs and seemed festive upon his arrival, which was shown live on Brazilian television. Among the crowd were numerous firefighters. One of them held a sign that read, “Justice is being done.” Mr. Cabral arrived at the notably rough Bangu prison complex on Thursday night, where more than two dozen Brazilians waited outside to cheer his imprisonment. Many sang songs and seemed festive upon his arrival, which was shown live on Brazilian television. Among the crowd were numerous firefighters. One of them held a sign that read, “Justice is being done.”