Brazil: President Lula says there was “banditry” and “crime” in the sale of Eletrobras

By Mariana Haubert

President Luiz Inácio Lula da Silva (PT) raised the tone of criticism on the privatization of Eletrobras.

On Thursday (11), he said that there was “banditry” and “crime against the country” in the conditions of the sale of the energy company.

According to the President, the sale harmed the federal government.

“We went to court under the orientation of Rui Costa [Minister of the Civil House] to reacquire the right to have political importance in the administration of Eletrobras.”

“It was privatized. The Brazilian government has 43% of the shares, but we have one vote. We are only worth 8.75%.”

“So we are fighting for the Brazilian government to have the 43% representation on the board.”

Another important thing is that the privatization was a crime against the country,” said the President.

“If the Brazilian government tries to buy back Eletrobras, it has to pay three times what the private [sector] offered.”

“The government itself made a law damaging the government.”

“We will investigate, we will prosecute, we will try to prove corruption so that the people will know who practiced corruption in this country,” he declared.

Lula spoke at the event where he signed the Paulo Gustavo Law regulation, which allocates R$3.8 billion to the cultural sector.

It was held at Castro Alves Theater in Salvador (Bahia).

On May 5, the AGU (Attorney General of the Union) filed a lawsuit with the STF (Federal Supreme Court) to question the limit of up to 10% of voting rights of the Union in Eletrobras.

Signed by President Lula, the lawsuit asks the Supreme Court to annul a section of the law that allowed the privatization of Eletrobras.

The text established a change in the company’s by-laws to limit the voting capital to up to 10%, regardless of the equity interest of each shareholder.

The government wants the section to apply only to voting rights referring to shares acquired after the privatization.

In the morning, the President had already criticized the sale of Eletrobras and said that the government “will fight hard” to regain space in the energy company.

The President also said he was not being radical, as he is accused of.

“They say, ‘Ah, Lula is radical’. I am not radical. I am calmer than when my mother held me in her arms and saw what a beautiful Bahian little boy”, he declared.

Lula also mentioned that the family of Lt. Col. Mauro Cid, Jair Bolsonaro’s former aide-de-camp, has million-dollar properties in the United States.

The President said the properties were “certainly not for the aide-de-camp.”

“It is for the paladin of discord, ignorance, and denialism, and that is why we are going to fix this country,” he said, without mentioning his predecessor’s name.

With information from Poder360

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