metatag Another Brazilian Minister Bites the Dust Accused of Corruption - brazzil

Another Brazilian Minister Bites the Dust Accused of Corruption

The wave of corruption shell shocking the Brazilian government reached Communications Minister Luiz Gushiken on Thursday when it was revealed that a consulting firm which formerly belonged to the Minister has enjoyed skyrocketing revenues since President Luiz Inácio Lula da Silva took office.

Mr. Gushiken, 52, was one of the coordinators of Lula’s winning 2002 presidential election campaign, and one of the president’s closest friends. The two have been acquainted since the seventies.


The Minister was the owner of Globalprev, an insurance consultancy that operates out of the house in a city in São Paulo state where he lived with his family until he accepted the communications portfolio and apparently left the firm.


According to financial reports, in 2002, when President Lula was campaigning for president, Globalprev had revenues of 151,000 reais (about US$ 45,000), but that sum soared to 1.05 million reais (US$ 420,000) during the first year of the former union leader’s administration.


Just between January and May of this year, the company billed 968,000 reais (US$ 388,000), according to tax authorities.


The exposure adds to the money and bribes scandal involving top officials of Lula da Silva’s administration and leaders of the leftist Workers Party, PT, he founded in 1980 and supposedly was immune to corruption practices so common in Brazilian politics.


Mr. Gushiken already had been mentioned in previous claims of wrongdoing in government owned companies, which allegedly collected money to bribe congressional support for the Lula administration legislative agenda.


São Paulo political sources indicate that charges against Mr. Gushiken have caused great disillusion to President Lula who may now be forced to sack his old friend as part of the Cabinet reshuffle begun last Tuesday with the appointment of three ministers from a center-right party in hopes of shoring up the administration.


Lula’s Cabinet Chief José Dirceu and all major posts in the Workers Party executive have resigned following the claims.


The avalanche of scandals, which seem endless, have triggered opposition interest in next year’s presidential election, an election which only a month ago seemed a one man race confirming Mr. Lula da Silva’s second four year term.


This article appeared originally in Mercopress – www.mercopress.com.

Tags:

You May Also Like

An ATM (caixa automático) in Brazil

The Brazilian ATM Wouldn’t Give Me My Money. And So Started My Nightmare

You are finally there. Your dream holiday is just about to start. You waited ...

Francal Brazil, LatAm’s Largest Shoe Fair, Draws Buyers from Europe and Americas

Abicalçados, the Brazilian Association of Shoe Manufacturers, has invited 19 international companies to attend ...

IDB May Finance Biodiesel and Ethanol Production in Brazil

Brazilian President Luiz Inácio Lula da Silva asked the Inter-American Development Bank (IDB) to ...