Federal Police Operation targets procurement fraud in Goiás municipality with searches in three Mato Grosso towns
The Federal Police executed five search warrants in Goiás and Mato Grosso on suspicion of procurement fraud involving the Municipal Government of Aragarças (GO).
Federal Police investigates cartel in Aragarças procurement with action in Cuiabá, Pontal do Araguaia and Salto do Céu
According to g1.globo.com, the Federal Police launched Operation Reverse Current on Tuesday (3rd) to investigate suspected fraud in procurement and contracts involving the Municipal Government of Aragarças (GO), particularly in construction works and engineering services. Five search and seizure warrants were executed in Goiás and Mato Grosso — three of them in the Mato Grosso municipalities of Cuiabá, Pontal do Araguaia and Salto do Céu.
The searches were conducted at residences of the investigated individuals, company headquarters and administrative departments of the municipal government. The courts also authorised personal searches. The operation had support from the Comptroller General of the Union (CGU).
According to the Federal Police, formally distinct companies with representatives and addresses in common were alleged to have participated in the same procurement processes alternately. The suspicion is that they coordinated their participation to simulate competition and favour the contracting of particular firms — a practice known as procurement cartel.
The investigation also identified evidence of prices above those practiced in the market and the use of a shell company without structure to carry out the contracted services. Part of the payments were allegedly made with federal resources transferred to the municipality.
The CGU assisted in analysing the contracts and tracing the route taken by public funds. The materials seized in the searches are to provide support for deepening the investigations and determining any damage to public finances.
The names of the companies under investigation were not released by the police. The investigated individuals may face charges for crimes of frustration of the competitive character of procurement and fraud in procurement or contracts, depending on each person's involvement.
Source: Google News BR — São Paulo