Phases Of Operation Car Wash

A long series of criminal investigations have occurred in Brazil associated with Operation Car Wash. The first investigation was launched in March 2014, and is now known as of the investigation, with subsequent inquiries numbered sequentially and having code names such as (Operation Bidone), (Operation Casablanca), and so on. By September 2020, there were 74 announced phases of Operation Car Wash..

Besides these, there were other investigations that are considered offshoots of Operation Car Wash.

Background

Operation Car Wash ( pt, Operação Lava Jato) was an investigation into money laundering and political corruption in Brazil, which has been led by investigative judges, and carried out by the Federal Police.

Since its initiation, many investigations have been conducted by the Public Prosecutor's Office, the Attorney General's Office and the Federal Police from documents collected from search warrants, '' condução coercitiva'' warrants, and documents and testimonials obtained in cases of sovereign immunity. The goal of the investigation is to ascertain the extent of the money laundering scheme, estimated to be (US$– billion), largely through embezzlement of Petrobras funds. At least eleven other countries, mostly in Latin America, were involved, and the Brazilian company Odebrecht was deeply implicated.Kurtenbach, S., & Nolte, D. (2017). Latin America's Fight against Corruption: The End of Impunity. GIGA Focus Lateinamerika, (03). The U.S. Securities and Exchange Commission announced that the $853 penalty assessed by the DOJ was in addition to an agreed total of $933 million in disgorgement and prejudgment interest, in connection with a $2.5 billion overstatement of assets in a US$10 billion stock offering completed in 2010.

It has resulted in more than a thousand judicial warrants being served for three investigative judges. Politicians from Brazil's largest parties, including former presidents of Brazil, presidents of the Chamber of Deputies and the Federal Senate, and state governors are involved, as well as businessmen from large Brazilian companies. Originally a money laundering investigation, it expanded to cover allegations of corruption at the state-controlled oil company Petrobras, where executives allegedly accepted bribes in return for awarding contracts to construction firms at inflated prices.

The investigation is called "Operation Car Wash" because it was first uncovered at a car wash in Brasília. The Federal Police have called it the largest corruption investigation in the country's history. Petrobras later agreed to an $853 million settlement with the US Department of Justice on charges its executives violated the US Foreign Corrupt Practices Act, "paying hundreds of millions of dollars in bribes", then covering them up.

In Brazil

2014

Phase 1 — Operation Car Wash

On 17 March 2014, the Federal Police of Brazil (PF) initiated Operation Car Wash ( pt, Operação Lava Jato) with the temporary and pre-trial detention of seventeen people in seven states, including money changer Alberto Youssef. Five million reals ($ million) were seized in cash, 25 luxury cars, jewelry, paintings and weapons.

Phase 2 — Operation Bidone

On 20 March 2014, the Federal Police launched the second phase of Operation Car Wash, called Operation Bidone, serving six search and seizure warrants and one temporary arrest warrant, namely for former Petrobras Director of Procurement

Phase 3 — Operation Dolce Vita

On 11 April 2014, the Federal Police launched phase 3, Operation Dolce Vita, serving sixteen search and seizure warrants, three temporary arrest warrants and six '' condução coercitiva'' warrants. The lawsuit sought to gather evidence about the connection between and black marketeer Alberto Youssef at the company Ecoglobal Ambiental. The company had at least one contract of 443 million reals with Petrobras.
He is suspected of offering a R$110,000 ($) bribe from Youssef to Deputy , depositing the money in the accounts of a cattle trader (Júlio Gonçalves de Lima Filho) and a transportation company (União Brasil Transporte e Serviços ) at the Deputy's request. The into Petrobras and the Joint Parliamentary Committee of Inquiry ( pt, Comissão Parlamentar Mista de Inquérito, label=none; CPMI) of Petrobras were established in the Senate.

Phase 4 — Operation Casablanca

On 11 June 2014, the Federal Police launched Operation Casablanca with a search warrant and a warrant for remand against Paulo Roberto Costa, who was again arrested.

Phase 5 — Operation Bidone II

On 1 July 2014, the Federal Police launched phase 5, Operation Bidone II, serving seven search warrants, one temporary arrest warrant and one '' condução coercitiva'' warrant. The executive João Procópio Junqueira Pacheco de Almeida Prado was arrested in São Paulo as manager of the Swiss bank accounts of money changer Youssef. Five million reais ($ million) were frozen in the Swiss accounts.

Phase 6 — Operation Bidone III

On 22 August 2014, the Federal Police launched phase 6, Operation Bidone III, serving eleven search and seizure warrants and one for '' condução coercitiva'' at companies with ties to Costa. First arrested in March 2014 on a charge of concealing documents, Costa was released 59 days later, then again arrested days later when authorities discovered he had failed to mention a Portuguese passport and US$23 million in Swiss bank accounts.

Phase 7 — Operation Doomsday

On 14 November 2014, the Federal Police launched Operation Doomsday, () mobilizing 300 officers to serve 49 search warrants, six pre-trial detention warrants, 21 temporary arrest and nine '' condução coercitiva'' compulsory appearance detentions, arresting presidents and directors of large Brazilian companies such as Construtora OAS, , Camargo Corrêa Construções, , and Construtora , which had a combined R$59 billion ($ billion) in contracts with Petrobras between 2003 or 2014. In addition to Youssef and Costa, the accused included , a former international director at Petrobras, Dalton Santos Avancini, president of Camargo Corrêa, Jean Alberto Luscher Castro, CEO of , José Adelmário Pinheiro Filho, president of OAS, and , president of .

Camargo Corrêa was the lead contractor on a R$24 billion ($ billion) construction project, the Abreu e Lima refinery in Pernambuco, at the time the most expensive in the country. According to CEO , the construction companies entered into consulting agreements with front companies which between them received millions in payment.

Dario de Queiroz Galvão Filho was sentenced to 20 years and six months imprisonment for active corruption, money laundering and criminal association. Erton Medeiros Fonseca received 13 years and five months of imprisonment for active corruption, money laundering and criminal association. Convicted of active corruption and criminal association, Jean Alberto Luscher Castro was given fourteen years and four months in prison. The men appealed their sentences.

Executives of Mendes Junior were also implicated in this phase, over contracts connected to the Paulínia Refinery (Replan), the Getúlio Vargas Refinery (Repar), the Rio de Janeiro Petrochemical Complex (Comperj), the Barra do Riacho Waterway Terminal, the Gabriel Passos Refinery (Regap), and at the Ilha Comprida and Redonda Waterway Terminals. Former vice-president Sergio Cunha Mendes was sentenced to 19 years and four months for his part in the kickback scheme. Paulo Roberto Costa was also among those convicted, and remained under house arrest at his home in Rio de Janeiro.

2015

Phase 8 — unnamed

On 14 January 2015, the Federal Police (PF) served a preventive arrest warrant against Nestor Cerveró, accused of disposing of possibly illegally-obtained assets. Cerveró was arrested on landing at Tom Jobim International Airport in Rio de Janeiro.

Phase 9 — Operation My Way

On 5 February 2015, Federal Police launched the ninth phase of Car Wash, called "My Way". It has served 62 search and seizure warrants, temporary and preventive arrests and enforcement orders in four states of Brazil, to gather evidence about operators who intermediated the payment of bribes and kickbacks under Petrobras. Evidence was also collected regarding payments under BR Distribuidora, a subsidiary of Petrobras. During this phase forty-eight works of art were seized at 's house and taken to the Oscar Niemeyer Museum. Zwi Skornicki was named as one of the operators of the corruption scheme.

Phase 10 — Operation What country is this?

On 16 March 2015, around 40 police officers carried out 18 arrests in Rio de Janeiro and São Paulo. The operation was codenamed "Operation what country is this?" () after comments made by to his lawyer as he was being detained by the police in 2014. The ex-director of Petrobras, Renato Duque, was arrested in his Rio de Janeiro home, and businessman was arrested in São Paulo. Individuals detained in this action were taken to Curitiba. On 27 March, the federal police arrested Dário Queiroz Galvão, one of the partners of the firm . Guilherme Esteves de Jesus, one of the suspects investigated in phase 9 of Operation Car Wash, was arrested in Rio de Janeiro for bribes paid to the Jurong Shipyard. Both Queiroz Galvão and Esteves de Jesus were wanted under pre-trial arrest warrants and were taken to police headquarters in Curitiba. On 8 April 2015, the Federal Justice Court of Paraná seized 163.5 million reals ($) from company, a figure corresponding to the amount of money that was due them from a writ of payment () from the state of Alagoas.

Phase 11 — Operation In the beginning

On 10 April 2015, the Federal Police began the phase called "In the beginning", () fulfilling 32 warrants, including seven for arrest, sixteen search and seizure and nine '' Condução coercitiva'' warrants. This phase had operations in six states: Paraná, Bahia, Ceará, Pernambuco, Rio de Janeiro and São Paulo. In this phase, former federal deputy , Leon Vargas (brother of ), former deputy , Élia Santos da Hora (secretary of Argôlo), former federal deputy Pedro Corrêa, Ivan Mernon da Silva Torres and Ricardo Hoffmann were arrested.

Phase 12 — unnamed

On 15 April 2015, PF served two arrest warrants, one of '' condução coercitiva'' and one of search and seizure in São Paulo. João Vaccari Neto, PT treasurer, was arrested. Vaccari's sister-in-law, Marice Correa de Lima, was on the run until 17 April 2015. She later surrendered to the police. Vaccari's wife, Gisela Lima, had a warrant for ''condução coercitiva'', and was released after making a statement. The Federal Police forwarded to the Federal Public Prosecution Service (MPF) on 11 May 2015, thirty indictments against 22 people, investigated in the 11th phase, to investigate corruption crimes, contract fraud, money laundering and criminal organization, among others.

Phase 13 — unnamed

On 21 May 2015, Federal Police carried out the 13th phase of Operation Lava Jet in the states of Minas Gerais, Rio de Janeiro and São Paulo. An arrest warrant was served on ; in addition one warrant for was served, and four for search and seizure. The warrants for search and seizure in São Paulo were made at the residence of , Milton's brother. The other two were served in Rio de Janeiro and Minas Gerais. According to MPF, , a company owned by José Dirceu, received more than 1.4 million reals ($) from Jamp Engenheiros Associados Ltd, a company owned by Milton Pascowitch.

Phase 14 — Operation Erga Omnes

On 19 June 2015, the Federal police launched the 14th phase of Operation Car Wash, code-named "Erga Omnes", a Latin expression meaning "valid for all". The targets were the contractors Odebrecht and Andrade Gutierrez. The two company presidents Marcelo Odebrecht and Otávio Azevedo, were arrested in the operation. Odebrecht directors Marcio Faria, Rogério Araújo and Alexandrino Alencar were also arrested. Thirty-eight search warrants were served, eight were for preventive detention, four were temporary detention, and nine were '' condução coercitiva'' warrants. Judicial warrants were served in São Paulo, Rio de Janeiro, Minas Gerais and Rio Grande do Sul.

Phase 15 — Operation Monaco Connection

On 2 July 2015, the Police launched the 15th phase, code named Monaco Connection (), serving five court orders, four of which were for search and seizure and one for pre-trial detention. , former director of the international department of Petrobras, was arrested in the city of Rio de Janeiro and sent to prison in Curitiba, due to kickbacks of more than 10 million euros ($ million) in company business. Zelada had previously been cited by two whistleblowers, and , as the beneficiary of the corruption scheme. He was the successor of , acting in the international department of Petrobras from 2008 to 2012.

Phase 16 — Operation Radioactivity

The Federal Police on 28 July 2015, the phase launched Operation Radioactivity () with the arrest of , former CEO of Eletronuclear, and , president of global AG Energy. The two were arrested in Rio de Janeiro and taken to the Federal Police in Curitiba. In addition to bribery the 16th phase investigated the formation of a cartel and previous price-fixing on the Angra 3 construction project.
On 28 July 2015, federal judge Sérgio Moro, who ran the Lava Jato investigations in Paraná, froze 60 million reais ($ million), 20 million from former president of Eletronuclear Othon Luiz Pinheiro da Silva, 20 million from Andrade Gutierrez executive Flavio David Barra, and another 20 million from Aratec Engenharia, Consultoria & Representacoes Ltda, which belongs to Othon Luiz.

Phase 17 — Operation Pixuleco

On 3 August 2015, the Federal Police launched Operation Pixuleco, named after the term that the former treasurer of the Workers' Party, João Vaccari Neto, had used to refer to "bribe". 40 court warrants were carried out: three preventive detention, five temporary pre-trial detention, 26 search and seizure and six '' condução coercitiva'' warrants. José Dirceu and his brother Luiz Eduardo de Oliveria e Silva were arrested in the operation for corruption, money laundering and criminal conspiracy. About 200 police officers took part in the operation.

Phase 18 — Operation Pixuleco II

Operation Pixuleco II was launched on 13 August 2015. In the operation, 70 officers carried out search and seizure warrants, as well as arrest warrants, in Brasília, São Paulo, Porto Alegre and Curitiba. The operation was an offshoot of the previous phase, Pixuleco, which arrested José Dirceu. Former city councilor (Worker's Party) was caught in the São Paulo–Congonhas Airport and arrested. Romano was suspected of receiving illicit funds () of at least fifty million reals ($ million). The payments happened via front companies.

Phase 19 — Operation Nessun Dorma

The Federal Police launched, on 21 September, Operation Nessun Dorma (Italian for "no sleep") with eleven court orders. Engevix executive, José Antunes Sobrinho, had his preventive detention warrant issued, and was arrested in the city of Florianópolis. According to the investigations, a company received about 20 million reais ($ million), between 2007 and 2013, from construction companies already investigated by Lava Jato. The money, investigators claim, was bribery obtained via Petrobras contracts. In addition, Sobrinho paid bribes even when the operation was already in progress. The recipient of the bribes was Othon Luiz Pinheiro da Silva, former director of Eletronuclear, who is currently in a prison in Curitiba. "Financial transactions were made by Sobrinho in January 2015, including, when another Engevix director was already in prison. That shows how much they have no limits in their operations", said Carlos Fernandes Santos Lima, the persecutor of the task-force.

Phase 20 — Operation Corrosion

On 16 November 2015, the Federal Police launched the 20th phase of Lava Jato, Operation Corrosion (), named after the daily struggle to fight corrosion in oil drilling platforms. The objective was to seize documentary evidence of crimes committed at Petrobras, which were revealed by Operation Car Wash. Roberto Gonçalvez, former executive manager of Petrobras, and Nelson Martins Ribeiro, who investigations revealed as the bag man, were arrested.

Phase 21 — Operation Free Pass

On 24 November 2015, the Federal Police launched a phase code named "Free Pass" (). The investigation was based on an examination of the circumstances in which Petrobras hired a drilling vessel with concrete evidence of fraud in the bidding procedure. In all, 32 judicial warrants were issued, one of which was for preventive detention of cattle rancher José Carlos Bumlai, in addition to 25 search and seizure warrants and six '' Condução coercitiva'' warrants. The operation was carried out in São Paulo, Rio de Janeiro, Mato Grosso do Sul and the Federal District. Among the crimes investigated were fraud related to bidding, fraudulent misrepresentation, forgery of documents, active and passive corruption, influence peddling, money laundering, among others.

On 21 March, Bumlai left the prison in Curitiba. His preventive detention was converted to house arrest due to his bladder cancer. Bumlai's lawyers claimed that their client was 71 and had other chronic diseases.

2016

Phase 22 — Operation Triple X

After the 21st phase, the Federal Police arrested banker André Esteves, once the 13th richest Brazilian, on suspicion of obstructing Lava investigations. On 27 January 2016 the Federal Police launched the Triple X operation () in São Paulo and Santa Catarina. Eighty police officers served six temporary arrest warrants, fifteen search and arrest warrants and two of '' condução coercitiva''. The operation took place in three São Paulo cities -- São Paulo, Santo André and São Bernardo do Campo --- as well as in Joaçaba, Santa Catarina—and investigated criminal networks designed to open offshore companies and accounts abroad to hide and conceal the proceeds of corruption crimes, notably funds from crimes at Petrobras, as well conceal wealth through real estate ventures. Nelci Warken, Ricardo Honório Neto and Renata Pereira Brito were arrested, and warrants issued for Maria Mercedes Riano Quijano, Ademir Auada and Luiz Fernando Hernadez Rivero.

PF suspects that one of the contractors investigated in Operation Lava Jato disguised bribes in the Petrobras criminal scheme. Charges included corruption, fraud, currency evasion and money laundering.

Phase 23 — Operation Acarajé

Operation Acarajé targeted Labor Party publicist and marketer and engineer , official representative in Brazil of the Keppel Fels shipyard conglomerate. In testimony given in a plea agreement, former Petrobras manager stated that Skornicki continued to pay bribes to even after the former director left Petrobras, US $14 million in all.

Odebrecht was also targeted by the operation. The Federal Public Prosecutor stated that the Odebrecht Group was already under investigation for paying bribes to Renato Duque, , and , transferred by fraudulent invoices for US$3 million between 13 April 2012 and 8 March 2013, "an amount which indicates that it consisted of a bribe from Petrobras transferred to the marketers for the benefit of PT".

=Preventive arrests

=
*Zwi Skornicki
*Fernando Migliaccio da Silva

=Temporary detentions

=

Phase 24 — Operation Aletheia

On 4 March 2016 the Federal Police launched , serving eleven '' condução coercitiva'' warrants and 33 search and seizure warrants. Among those targeted by the operation were former president Luiz Inácio Lula da Silva, his two sons, and , a friend of Lula. The Police also carried out search and seizure warrants in addresses associated with some of Lula's relatives, such as his institute, known as Instituto Lula, presided over by Okamotto, his properties in São Bernardo do Campo, the city where Lula lived, as well as Atibaia and Guarujá, both located in the state of São Paulo, where Lula and his wife allegedly had a triplex apartment renovated by building contractor OAS. The Police reported that they were investigating crimes of corruption and money laundering. Warrants were also served in Salvador, Rio de Janeiro and in the São Paulo cities of Diadema, Santo André and Manduri. The ''condução coercitiva'' of Lula reverberated in the international press.

Lula was taken under the power of a '' condução coercitiva'' warrant to the São Paulo–Congonhas Airport to testify. The name of the operation is a Greek word meaning "pursuit of truth".

Phase 25 — Operation Polishing in Portugal

On 21 March 2016 the Judicial Police of Portugal carried out (). The financial operator Raul Schmidt Felippe Junior, a fugitive since July 2015, was preventively detained. This was the first international operation carried out by Operation Car Wash. Schmidt had been targeted by the 10th phase of the operation and considered to be associated with Jorge Luiz Zelada, who was arrested in the Médico-Penal Complex, in Pinhais, Paraná. The investigations pointed to Raul being suspected of involvement in bribe payments to Zelada, Renato de Souza Duque, and Nestor Cerveró. According to the Federal Public Ministry, in addition to being the operator, Schmidt also acted as an agent for international companies for obtaining contracts for the exploitation of Petrobras oil platforms. Schmidt had dual nationality, Brazilian and Portuguese, and moved to Portugal soon after Operation Car Wash was launched.

Phase 26 — Operation Xepa

Phase 27 — Operation Carbon 14

On 1 April, the Federal Police launched Operation Carbon 14 (), with 12 court orders, including two temporary arrests, eight search and seizure warrants in the companies DNP Eventos, Expresso Santo André and Diário do Grande ABC, and two '' condução coercitiva'' warrants. The temporary arrest warrants were issued against Ronan Maria Pinto e Silvio Pereira. Former Workers' Party treasurer Delúbio Soares and Breno Altman were the targets of '' condução coercitiva''. The operation investigates crimes such as extortion, fraudulent misrepresentation, fraud, active and passive corruption, and money laundering.

Phase 28 — Operation Vitória de Pirro

On 12 April 2016, the Federal Police launched Operation Vitoria de Pirro, with the arrest of the former senator Gim Argello, suspected of avoiding crucial testimony at (CPMI) in 2014.

Phase 29 — Operation Playoff

On 23 May, the Federal Police launched Operation Playoff (), which investigated crimes of criminal association, money laundering and passive and active corruption involving embezzled funds associated to the Progressive Party (PP). The party's former treasure, João Cláudio Genu, was arrested in the operation. Six search and seizure, one preventive detention and two temporary arrest warrants were issued in the states of Pernambuco, Rio de Janeiro and the Federal District.

Phase 30 — Operation Addiction

On 24 May Federal Police launched Operation Addiction (), with 39 court orders, which include two arrests, 28 search and seizure warrants and nine '' condução coercitiva'' warrants in the states of São Paulo and Rio de Janeiro. , publisher=Globo , newspaper=G1 , date=24 May 2016 The name of the operation has to do with the systematic and repeated practice of corruption perpetrated by certain employees of the state company and politicians who seem to not be able to act in any other way that doesn't harm the State.

Phase 31 — Operation Abyss

On 4 July 2016, the Federal Police launched Operation Abyss () in São Paulo, Rio de Janeiro, and the Federal District. One of the targets was former Workers' Party treasurer , arrested on 24 June, when he was the target of Operation Brazil Cost, an offshoot of Operation Car Wash that investigated fraud in Law 10.820 loans () to civil servants. Ferreira was the target of a preventive detention warrant. A further 35 judicial warrants were issued, four of which were for temporary detention, 24 for search and seizure, and seven '' condução coercitiva'' warrants.

Phase 32 — Operation Ghostbusters

On 7 July 2016, the Federal Police launched Operation Ghostbusters (), which investigated crimes against the national financial system, money laundering and international criminal organizations. About 60 police officers executed 10 search warrants and 7 ''conduções coercitivas'' (forced appearance in court to provide clarifications) in three cities: São Paulo, São Bernardo do Campo and Santos. The targets were the Panamanian bank FPB Bank, which operated in Brazil illegally, and the Mossack Fonseca

HOME


Content is Copyleft
Website design, code, and AI is Copyrighted (c) 2014-2017 by Stephen Payne


Consider donating to Wikimedia



As an Amazon Associate I earn from qualifying purchases