Red Card Called on Brazilian Corruption
By Kate Grusky
Brazil is finally cracking down on corruption: it has opened both an inquiry into the alleged taking of bribes for contracts by the Brazilian Soccer Federation and an investigation of embezzlement and mismanaged projects by state-owned energy giant, Petrobas.
However, these two cases of corruption coincide with a weakening economy on the brink of recession, as interest rates surge and GDP contracts.
The government knows there is cleaning up to do. Senator Romário, a former soccer star, is leading the initiative to rid the national sport of long-present corruption. Petrobras executives have been indicted and politicians are under investigation. The question is whether President Dilma Rousseff gets washed away as the Augean Stables are cleaned or manages to win back Brazilians' trust.
Source: International Bar Association – Global Insight April/May 2015: Brazil's Operation Carwash by Brian Nicholson
About the Author:
Kate Grusky, at Brown University, specialises in Latin American economics and culture.
The article above is an opinion of the author and does not necessarily reflect the opinion of MV Index Solutions or its affiliates.