Brazil: Bolsonaro being probed in Saudi gift graft case

Brazilian federal police said on Friday that they were looking into the sale of two watches by former President Jair Bolsonaro, and people close to him, that he had received as a gift from Saudi Arabia while in office.

The sale of the luxury watches amounted to nearly $70,000 (€63,847) which was allegedly kept by the former president as cash, violating laws that prohibit officials from keeping expensive gifts.

A Federal Police officer told the Associated Press on the condition of anonymity that they were trying to access the personal banking and financial information of Bolsonaro, and had sought help from the FBI.

Police had earlier carried out raids at the residences of Bolsonaro's lawyer Frederick Wassef, and the family of his aide Mauro Cid who is currently in prison. 

The search operations were executed based on a warrant issued by Supreme Court Justice Alexandre de Moraes. Police said they believed Bolsonaro's aides had used government resources for "illicit enrichment."

What did Bolsonaro say

Brazil requires its citizens arriving by plane from abroad to declare goods worth more than $1,000 (€912). For any amount above that, a tax equal to 50% of their value has to be paid.

If the jewelry was a gift from Saudi Arabia to Brazil, it would have been exempt from tax, but not Bolsonaro's to keep.

"The amounts obtained from these sales were transformed into cash and then became personal assets of the former president through middle people and without entering the formal banking system," Federal Police said, according to an order issued by Supreme Court Justice Alexandre de Moraes.

"Beyond allowing an inadmissible enrichment of the President of the Republic... it is possible that the Brazilian head of state was co-opted by foreign nations through these assets," investigators added.

Bolsonaro's lawyers said in a statement that "President Bolsonaro has never embezzled or misplaced any public assets," and that he would allow the judiciary to access his banking records.

The order also stated the police believe the strategy of the suspects was "hiding the origin, location and ownership of these amounts."

Bolsonaro's ongoing legal troubles

According to the investigation, Bolsonaro's aide Cid allegedly sold a Rolex watch and a Patek Philippe watch to a US store. This was given as a gift by the government of Saudi Arabia in 2019 for a total of $68,000. The money was allegedly transferred to the bank account of Cid's father.

In March 2023, Federal Police asked Bolsonaro to return two sets of jewelry gifts. His lawyer Wassef repurchased the Rolex watch in Miami and turned it over to Brazilian authorities in April, the order said.

Both Wassef and Cid's father were among those raided by the police on Friday.

Bolsonaro is also being investigated in relation to a riot by his supporters in the national capital after he left office. He is further facing a trial in several other cases, such as allegedly falsifying COVID-19 vaccine cards during the pandemic.

Earlier this year, Bolsonaro was ruled ineligible to run for office till 2030 after a judgment saying he abused his power and cast doubts on the country's electronic voting system.

tg/ab (AP, Reuters)