Another major fraud investigation in Brazil: companies funds pensions; US$ 25bn alleged damages

Tuesday, September 6th 2016 - 17:43 UTC

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Brazilian police launched an investigation of fraud at state-run companies' pension funds on Monday, as a judge ordered dozens of senior financiers and executives away from their firms, including the chief executive of the world's biggest beef exporter. Read full article

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Another reason why the advances paid for by the commodity boom in Brazil are now being slowly eroded after the boom ended and the easy money disappeared.

While Australia just celebrated 3.3% growth for the last year and its 25 year of unbroken growth. Growth that preceded the commodities boom. And has lasted long after the commodity boom went bust.

It's hard to really impress upon people in some countries how much a strong legal and political system together with constant vigilance against fraud and waste can make all the difference.
Sep 07th, 2016 - 12:17 pm - Link - Report abuse 0
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ChrisR
@ 1 Skip
“It's hard to really impress upon people in some countries how much a strong legal and political system together with constant vigilance against fraud and waste can make all the difference.”

You know, probably better than me, that the real problem is the LatAm character of 'they deserve a bit as long as it's not overdone and WE get some as well'.

In Uruguay the extreme tax levels on businesses means that even the straightest of people HAVE to bend the rules a little just to survive and keep their businesses afloat.

In Brazil however that philosophy is taken to the extremes and not only tolerated by the governments but 'improved' upon to the point they find themselves now.

I have no idea how this mindset will ever be altered nevermind be brought to the same levels as Australia.
Sep 07th, 2016 - 12:51 pm - Link - Report abuse 0
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Skip
Yeah, for all the evils of colonialism, I still thank the lord that it was the British and not the Spanish or Portuguese that settled Australia. The French wouldn't have been all bad as it would have been post-revolutionary France and not Catholic France and I would have been happy if the Dutch did as they were a mercantilist empire like the British but probably would have imported millions of Indonesians and we would now be Indonesian.

But thank God it was the British. The rule of law and strong, flexible and open government. There was no possibility of Australian not being colonised as the Aboriginals were divided into possibly hundreds of nations without the ability to engage in any sort of foreign relations without disrupting their way of life.

Australia has many faults but the commodities boom came and went and we are still growing. Are we booming? Nope! But we are not mired in recession with every major government business being found to have fleeced the country of billions of dollars.

The funny thing is that Australia has only had 228 years of European colonisation and 115 years as a country and technically 30 years of full independence. Brazil, Uruguay and Argentina have had 196, 191 and 200 years of actual independence to shape their own countries and they still make a fecking mess of it.
Sep 07th, 2016 - 06:47 pm - Link - Report abuse 0
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Jack Bauer
Before any fanatic 'petista' denies that the fraud, amounting to US$ 2.5 billion , has anything to do with the PT, I'd just like to say that Brazil is in the shit because of China, because of the Fed's interest policy and because it didn't rain in the Sahara......Don't even suggest that Lula, Dilma, or the PT had anything to do with it.
Funny thing is that the workers who contribute to these 4 State-run company pension funds, and their pensioners, actually believe that. Let's see if they change their minds when they are told they cannot retire, or that the well has dried up..
Sep 07th, 2016 - 11:14 pm - Link - Report abuse 0
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ChrisR
@ 3 Skip

Whilst we both love Uruguay we still miss not being able to retire in Australia if only for the legal standards that apply to everybody throughout the country.

Here we have The Broad Fraud. I will stop now and go and have a lie down in a darkened room! :o)
Sep 08th, 2016 - 11:27 am - Link - Report abuse 0
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Skip
Yes I agree ChrisR

I'd be very happy to see a freedom of movement between the UK and Australia when Brexit is done. It was the UK joining the EEC that put an end to that freedom previously.

I think that the UK and Canada should join the freedom of movement that Australia and NZ already enjoy. No need for currencies or parliaments or commissions. Just simple bilateral agreements between each country.
Sep 08th, 2016 - 07:25 pm - Link - Report abuse 0
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:o))
Why is this a “news”? After all, frauds, corruptions & scandals are the daily way of life!
Sep 09th, 2016 - 11:31 am - Link - Report abuse 0
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Jack Bauer
@7 :0))
Sure it's the “daily way of life”...in Brazil. But it is 'news' because the turds are finally floating to the surface.
Sep 09th, 2016 - 03:45 pm - Link - Report abuse 0
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:o))
: Not ONE of these “turds” is going to return most of the stolen money!
: If at all only a few of them are finally jailed; it will be a “Five-Star” jail!
Sep 10th, 2016 - 11:44 am - Link - Report abuse 0
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Jack Bauer
@9 :0))
You're right, but for Brazil it's a significant advance.....even if it probably won't have a very longlasting effect.
Sep 10th, 2016 - 05:33 pm - Link - Report abuse 0
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:o))
You are right - it really is and will be a long-lasting and significant progress in the right direction; provided the Brazilians really get serious AND united against the corrupt politicians - NOT “united” as today in the groups which are being organized by the political parties!
Sep 12th, 2016 - 01:04 pm - Link - Report abuse 0
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Jack Bauer
@11 :0))
Talking of political parties, Brazil already has 35.......this is bad enough, but worse still, there are another 70 waiting to be registered by the STE (Superior Tribunal Eleitoral)......Unbelievable. Can't wait to see how they accomodate 105 different philosophies into the political spectrum...
Just like when you give a ball to each kid to play with on the soccer field , perhaps each politician should be given his own party....then we could have over 600 parties...
This is what happens when the majority of politicians, plus candidates running for election, are just a bunch of ignorant a.holes, with the sole objective of taking care of only their own interests.
Sep 12th, 2016 - 04:55 pm - Link - Report abuse 0
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:o))
You said it ALL! “They” are in the Brazilian Politics; just to make hey [for themselves ONLY] while the sun shines. Besides, the law & the constitution encourages the corrupt to remain politically active!

Watch how all the investigations disappear - slowly / gradually - and all the condemned crooks get away with almost ALL of their loot!
Sep 12th, 2016 - 06:53 pm - Link - Report abuse 0
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