From: rich@pencil.cs.missouri.edu (Rich Winkel)
Subject: BRAZIL: PRESIDENT ACCUSED OF PROFITING FROM HIS POSITION
Followup-To: alt.activism.d
Originator: rich@pencil.cs.missouri.edu
Organization: PACH
Date: Mon, 31 Aug 1992 23:41:21 GMT

/** reg.samerica: 153.0 **/
** Topic: IPS: Collor Accused of Profiteering **
** Written  3:57 am  Aug 30, 1992 by josefina in cdp:reg.samerica **
From: Josefina Velasquez <josefina>
Subject: IPS: Collor Accused of Profiteering

/* ---------- "IPS: Collor Accused of Profiteering" ---------- */
/* Escrito 12:13 am  Aug 27, 1992 por newsdesk en cdp:ips.englibrary */
Copyright Inter Press Service 1992, all rights reserved.  Permission to re-
print within 7 days of original date only with permission from 'newsdesk'.

Title: BRAZIL: PRESIDENT ACCUSED OF PROFITING FROM HIS POSITION

an inter press service feature

by mario osava

rio de janeiro, aug 24 (ips) -- the parliamentary comission of
inquiry (cpi) investigating allegations of corruption in the
brazilian government has accused president fernando collor de
mello of ''having received improper economic advantages'' during
his two a half years in office.

the evidence gathered by the cpi suggests that collor could be
brought face trial or congressional impeachment proceedings for
''common crimes and the crime of (political)responsibility'',
according to a report by cpi's relator, senator amir lando.

the cpi report, which describes collor's behaviour as
''incompatible with the dignity, honour and decorum of a head of
state'', was formally read out on monday and broadcast live
throughout the country on radio and television.

the 22-member commission is expected to vote on the report on
wednesday, for its final approval, but for now the 200-page
document is the responsibility of the cpi's relator or 'court
reporter'.

however, the report is likley to be approved, since the the
opposition has a majority of 12 members on the cpi, including
senator amir lando who belongs to the brazilian democratic
movement party (pmdb).

if approved, the final report would provide the basis for the
senate to begin political proceedings against the president, if
two-thirds of the lower chamber votes for impeachment, while the
supreme court would try collor for alleged ''common crimes''.

the former president of the brazilian bar association, hermann
baeta, said collor could already be charged with at least two
common crimes: the creation of a group engaged in illicit
activities and passive corruption.

moreover, the administrative dishonesty of which collor is
accused in the report, could provide grounds for his impeachment
for the so-called ''crime of responsibility''.

however, collor's supporters take a different view. senator
odacir soares of the liberal front party (pfl) and a cpi member,
described the report as ''legally premature and politically
biased'', and said it was a ''political document that reflects a
power struggle,'' and therefore legally invalid.

government supporters have consistently tried to play down the
legal basis of the report, prepared by a majority of opposition
parliamentarians, and have refused to participate in wednesday's
vote to approve the document.

while the whole country ground to a halt during the reading of
the preliminary report, president collor calmly carried on with
his normal activities, according to presidential spokesman
etevaldo dias. (more/ips)
----


brazil: president (2)

apparently oblivious to the parliamentary battle that will
decide his fate, collor presided at a ceremony in the planalto
palace, the government headquarters, to announce new economic
''de-regulation measures'', improved customs facilities and
measures to ease the acquisition of passports.

however, the cpi report avoids listing the specific crimes
committed by the president with reagard to the corruption network
set up by his friend and former campaign treasurer, businessman
paulo cesar farias, because this was not its function, said
deputy jackson pereira.

this tactic was used to prevent the government from annulling
the report, since the cpi's stated intention was to investigate
corruption on the part of farias, not the president.

however, clear links between collor and farias' activities
have emerged in the course of the inquiry, including the fact
that farias paid for the remodelling of one of the president's
private residences and other personal expenses.

collor's private car was also paid for with a cheque from one
of several ''phantom'' account holders --bank accounts in the
name of non-existent people, set up by farias to evade taxes and
transfer large sums of money.

moreover, the commission discovered that millions of dollars
were transfered to accounts belonging to several of collor's
relatives and his secretary, ana acioli, by farias' companies or
by ''phantom'' depositors.

the assets and incomes of collor's close associates and of
farias' companies also increased enormously during the last two
and a half years of collor's administration, according to the
cpi.

even the president's own statements have worked against him.
during a recent address to the nation, collor admitted that money
in his secretary's bank account was used to pay for his personal
expenses. it is now known that the money in acioli's account was
deposited by farias' companies.

in his speech collor also denied that he had any relations
with farias since he took office 1990.

according to paulo maluf, the president of the ruling
democratic social party, the most serious aspect of the case is
that collor took advantage of his ''privileged'' position to
avoid the 'freeze' on bank accounts and financial transactions
which his own government imposed on all brazilians a day after
taking office.

maluf cited this as his main reason for breaking with the
government and demanding that his party close ranks and press for
collor's impeachment. (ends/ips/trd/sp or en/mo/cs/cg/92)
----


** End of text from cdp:reg.samerica **

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