Former SP City Hall employees are targets for bid fraud

Two former employees of São Paulo City Hall were the targets of an operation by the Public Ministry, this Tuesday morning (7), for an alleged scheme of fraud in tenders and money laundering.

Prosecutors from Gaeco (Special Action Group to Combat Organized Crime) executed four search and seizure warrants at residences in the capital of São Paulo and Greater São Paulo.

The investigation points out that a former commissioned employee of SIURB (Municipal Secretariat for Infrastructure and Works) and a former employee of SMSUB (Municipal Secretariat of Subprefectures) had acted to direct bidding processes in favor of previously agreed companies and groups, in exchange for an undue advantage. The two employees were dismissed last March.

The values obtained in the bids would be incompatible with the income declared by those investigated, with evidence of acquisition of properties, vehicles and other assets through oranges, which would constitute concealment of assets of illicit origin (one of the stages of money laundering).

The investigation is still in its early stages, but those under investigation may be charged with crimes of corruption, bid fraud and money laundering. CNN Brasil contacted City Hall and is awaiting a response.

Source: CNN