Brazil's Michel Temer accused by police of 'passive corruption'

  • Brazil's Michel Temer accused by police of 'passive corruption'

Brazil's Michel Temer accused by police of 'passive corruption'

Brazilian President Michel Temer was off in Russian Federation on Tuesday, but while he plays the lofty role of statesman, his battle to retain power back home is getting ever messier.

The proposed overhaul to Brazil's costly social security system is seen by investors as a crucial step in balancing the country's budget in the long run.

In a report the Federal Supreme Court said Temer - who was away in Russian Federation - benefited from bribe funds, even if he did so using someone else to collect or deposit the bribes.

The president could be suspended if two-thirds of Congress votes to give a green light to the corruption investigation against the president.

"We are at war against a faceless enemy", Prosecutor General Rodrigo Janot said late Monday. The Feds based their conclusion on the fact that Temer's personal aide, Rodrigo Rocha Loures, appeared on film receiving a bag with 500,000 BRL in bribes.

Temer's "the head of the most risky criminal organization in the country", according to meatpacking billionaire Joesley Batista, who secretly recorded the alleged hush money discussion as part of a plea deal to escape prosecution over his own corruption charges.

Temer has repeatedly said he is innocent of all accusations against him.

But Temer's coolness in taking a foreign trip in the midst of his domestic crisis isn't just bravado. Gains in Brazilian markets were limited due to concerns that a political scandal may hamper the implementation of President Michel Temer's reform agenda.

Federal police have requested more time to continue their investigation into the allegations against the Brazilian president. He is also under investigation for obstruction of justice and criminal association.

These include numerous congressional deputies who will have to vote on whether to send Temer to trial.

Temer is the latest lawmaker to be implicated in the so-called "Car Wash" investigation, which over three years has uncovered systemic corruption among Brazil's political and business elite.

But they also acknowledge that the leader would be politically weakened if he is officially charged with corruption, adding to instability. The president was narrowly acquitted earlier this month of electoral board charges that he and Rousseff illegally financed their 2014 campaign.

Batista asked Temer for help with antitrust watchdog Cade.