Brazil prosecutors probe ex-president's alleged influence peddling
Brazilian prosecutors have launched an investigation into alleged irregularities in the dealings of Brazil’s former president, Luiz Inacio Lula da Silva, with Odebrecht, the country’s largest construction conglomerate.
“There is an investigation into possible influence peddling by ex-president Lula with the leaders of other countries on behalf of the construction company, Odebrecht,” a spokesman for the federal prosecutor's office in the capital, Brasilia, said on Thursday.
According to reports, the probe into the allegation against the former president, better known as Lula, started on July 8 by Brazilian prosecutors.
Lula's institute, the Instituto Lula, released a statement following the revelation of the investigation, saying Lula has nothing to fear.
"We are calm. The Lula Institute is certain of the transparency and legality of ex-president Lula's activities," Jose Chrispiniano, a spokesman for the institute, said.
According to the prosecutor's office, the alleged influence peddling happened during Lula's term in office from January 1, 2003 to January 1, 2011, when he was replaced by President Dilma Rousseff.
Prosecutors allege that Lula has prepared the ground for Odebrecht to strike business deals in Latin America and Africa. The former Brazilian president is also accused of having helped persuade the state-owned development bank BNDES to finance Odebrecht’s foreign projects.
In a statement, Odebrecht denied the allegations, saying that it has had a normal institutional relationship with Lula, and that BNDES has endorsed only 7 percent of its financing.
The ex-president has not ruled out another run for the presidency after Rousseff's second term ends in 2018.
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