Antonio Palocci
Encyclopedia
Antonio Palocci Filho is a Brazil
ian physician
and politician
, and former Chief of Staff of Brazil
under President Dilma Rousseff
. He was the Finance minister
of the Brazil
ian federal government from January 1, 2003 until March 27, 2006 (when he resigned in the wake of reports of conduct unbecoming of his office), during the presidency of Luiz Inácio Lula da Silva
. He resigned from his office as Chief of Staff on June 7, 2011.
, in the state of São Paulo
. His father was an artist
and teacher
. During his youth as a medical student at the University of São Paulo’s Ribeirão Preto Medical School
, Palocci took part in several radical left wing movements, notably in Libelu, a Brazilian Trotskyist
organization. He was one of the founders of the Workers' Party
and was its President in São Paulo from 1997 to 1998.
After graduation, Palocci worked for five years as a civil servant at the Ribeirão Preto regionel office of the São Paulo State Public Health Secretary. He inaugurated the Workers’ Health Ward and was the director of the regional office of the Public Health Service.
When Palocci was 28 years old, after occupying positions in various labour unions, including the CUT
(linked to the Workers Party) he ran for election as city councilman (vereador) for the first time. Since then, Palocci has never lost an election. However, he completed only one of his terms (as mayor
of Ribeirão Preto from 1993 to 1996).
in Ribeirão Preto in 1988. He did not finish his term because he stepped down to run in the election for the office of state deputy (which he won). In 1992, he resigned his term as deputy to assume the role of mayor of Ribeirão Preto, after winning the local election. It is during his administrations as mayor that Palocci is alleged to have led a major slush fund
operation (see below) for the Workers' Party, a scheme denounced by one of his former secretaries, Rogério Buratti.
In 1995, he received the UNICEF
’s Child and Peace prize for his work for the rights of infants and adolescents. In 1996, he received the Juscelino Kubitscheck Award from SEBRAE-SP, the São Paulo chapter of the Serviço Brasileiro de Apoio às Micro e Pequenas Empresas (Brazilian Service for Assistance to Small Businesses), for being the mayor of the São Paulo state city who offered the best support to small business. In 2002, he received the Mário Covas Award from SEBRAE again for his work on behalf of local small businesses.
Palocci was elected federal deputy in 1998. In 2000, he resigned his office so that he could run again in the mayoral election in Ribeirão Preto. He won the election, and thus was mayor of Ribeirão Preto again from 2001 to 2002. He resigned in 2002 so he could help Luiz Inácio Lula da Silva
's campaign for the Brazilian presidency. In 2003, when Lula was elected, Palocci officially resigned as the mayor of Ribeirão Preto and was nominated the Finance Minister of Brazil and became a key figure in the new government.
Along with former minister José Dirceu
(who resigned and subsequently lost his political rights for involvement with the Mensalão scandal
), Palocci was considered one of the most influential and strong ministers of Lula’s government.
On January 1, 2011, Palocci was appointed by President Dilma Rousseff as her Chief of Staff.
, after being accused by Rogério Buratti, his former secretary in the Ribeirão Preto administration.
According to Buratti, between 2001 and 2004, Palocci received a R$50,000 monthly payment from Leão & Leão, a garbage collection company. Investigations are still underway.
Palocci, however, denied this and accused the prosecutors of leaking the preliminary results of an ongoing investigation.
in Brasilia which is suspected of functioning as a hub for fraudulent operations within the government, with the participation of some of his closest aids. Palocci had previously claimed he had never been at the house. Some Congressmen said at the time that he could face criminal charges for lying to a Parliamentary Committee.
The main witness in the case is Francenildo Costa, who was then the groundskeeper of the property. He said the minister had visited the house "on at least ten, twenty occasions" and said he could clearly recognize Palocci as the man he had seen in the meetings of senior PT members and governmental officials at the house.
A few days after Francenildo's deposition, his bank statement (from government-run Caixa Econômica Federal
) were suddenly and mysteriously leaked to the press. It seemed to indicate that the groundskeeper had a balance of R$ 38,860 (about US$ 18,000.00) in his account, which would be incompatible with his income. This was immediately linked by Congressmen to Francenildo's motivations for contradicting the Minister, apparently in an attempt to tarnish his credibility as a witness
- although, in fact, he had been the second witness to contradict Palocci. The groundskeeper justified the figures by claiming that the money had been deposited by his alleged biological father, a relatively well-off businessman from the state of Piauí
, in order to prevent a legal dispute over paternity
. The alleged father confirmed he had deposited the money.
With this prompt explanation generally accepted, the focus of attention turned to the fact that the bank statement had been illegally revealed, in breach of Francenildo's fiscal privacy
. The opposition and a great part of the media compared the illegal revelation of Francenildo's bank statement to state-orchestrated harassment. The Federal police began an investigation on the case, which soon spiralled into yet another scandal in the Lula administration: a series of officials and directors at the Caixa Econômica Federal (a state bank) confessed to having violated Francenildo's account's confidentiality following superior orders. The chain of command, police found, went up as far as the Ministry of Finance, and the Bank chairman said that he handed the details of the groundskeeper's account to Palocci personally. The Minister denied this, but abruptly resigned on March 27, 2006, being immediately replaced by economist Guido Mantega
. http://www1.folha.uol.com.br/folha/brasil/ult96u77004.shtml
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
ian physician
Physician
A physician is a health care provider who practices the profession of medicine, which is concerned with promoting, maintaining or restoring human health through the study, diagnosis, and treatment of disease, injury and other physical and mental impairments...
and politician
Politician
A politician, political leader, or political figure is an individual who is involved in influencing public policy and decision making...
, and former Chief of Staff of Brazil
Chief of Staff of Brazil
The Chief of Staff of the Presidency of the Republic is the highest-ranking member of the Executive Office of Brazil, and a senior aide to the President.In Brazil, the Chief of Staff is a member of the president's cabinet, with the rank of Minister....
under President Dilma Rousseff
Dilma Rousseff
Dilma Vana Rousseff is the 36th and current President of Brazil. She is the first woman to hold the office. Prior to that, in 2005, she was also the first woman to become Chief of Staff of Brazil, appointed by then President Luiz Inácio Lula da Silva....
. He was the Finance minister
Finance minister
The finance minister is a cabinet position in a government.A minister of finance has many different jobs in a government. He or she helps form the government budget, stimulate the economy, and control finances...
of the Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
ian federal government from January 1, 2003 until March 27, 2006 (when he resigned in the wake of reports of conduct unbecoming of his office), during the presidency of Luiz Inácio Lula da Silva
Luiz Inácio Lula da Silva
Luiz Inácio Lula da Silva , known popularly as Lula, served as the 35th President of Brazil from 2003 to 2010.A founding member of the Workers' Party , he ran for President three times unsuccessfully, first in the 1989 election. Lula achieved victory in the 2002 election, and was inaugurated as...
. He resigned from his office as Chief of Staff on June 7, 2011.
Early life and career
Raised in Ribeirão PretoRibeirão Preto
Ribeirão Preto is a municipality and city in the Northeastern region of the state of São Paulo in Brazil. It is nicknamed Brazilian California, because of a combination of an economy based on agrobusiness plus high technology, wealth and sunny weather all year long. With 605,114 inhabitants,...
, in the state of São Paulo
São Paulo (state)
São Paulo is a state in Brazil. It is the major industrial and economic powerhouse of the Brazilian economy. Named after Saint Paul, São Paulo has the largest population, industrial complex, and economic production in the country. It is the richest state in Brazil...
. His father was an artist
Artist
An artist is a person engaged in one or more of any of a broad spectrum of activities related to creating art, practicing the arts and/or demonstrating an art. The common usage in both everyday speech and academic discourse is a practitioner in the visual arts only...
and teacher
Teacher
A teacher or schoolteacher is a person who provides education for pupils and students . The role of teacher is often formal and ongoing, carried out at a school or other place of formal education. In many countries, a person who wishes to become a teacher must first obtain specified professional...
. During his youth as a medical student at the University of São Paulo’s Ribeirão Preto Medical School
Faculdade de Medicina de Ribeirão Preto
Faculdade de Medicina de Ribeirão Preto is a medical school of the University of São Paulo located in the city of Ribeirão Preto, state of São Paulo, Brazil, founded 1952...
, Palocci took part in several radical left wing movements, notably in Libelu, a Brazilian Trotskyist
Trotskyism
Trotskyism is the theory of Marxism as advocated by Leon Trotsky. Trotsky considered himself an orthodox Marxist and Bolshevik-Leninist, arguing for the establishment of a vanguard party of the working-class...
organization. He was one of the founders of the Workers' Party
Workers' Party (Brazil)
The Workers' Party is a democratic socialist political party in Brazil. Launched in 1980, it is recognized as one of the largest and most important left-wing movements of Latin America. It governs at the federal level in a coalition government with several other parties since January 1, 2003...
and was its President in São Paulo from 1997 to 1998.
After graduation, Palocci worked for five years as a civil servant at the Ribeirão Preto regionel office of the São Paulo State Public Health Secretary. He inaugurated the Workers’ Health Ward and was the director of the regional office of the Public Health Service.
When Palocci was 28 years old, after occupying positions in various labour unions, including the CUT
Cut
Cut may refer to:* The act of cutting, the separation of an object into two through acutely directed force-Mathematics:* Cut * Branch cut, a concept in complex analysis* Dedekind cut, a partition of rational numbers* Cut-elimination theorem...
(linked to the Workers Party) he ran for election as city councilman (vereador) for the first time. Since then, Palocci has never lost an election. However, he completed only one of his terms (as mayor
Mayor
In many countries, a Mayor is the highest ranking officer in the municipal government of a town or a large urban city....
of Ribeirão Preto from 1993 to 1996).
Political career
Palocci was elected councilmanCity council
A city council or town council is the legislative body that governs a city, town, municipality or local government area.-Australia & NZ:Because of the differences in legislation between the States, the exact definition of a City Council varies...
in Ribeirão Preto in 1988. He did not finish his term because he stepped down to run in the election for the office of state deputy (which he won). In 1992, he resigned his term as deputy to assume the role of mayor of Ribeirão Preto, after winning the local election. It is during his administrations as mayor that Palocci is alleged to have led a major slush fund
Slush fund
A slush fund, colloquially, is an auxiliary monetary account or a reserve fund. However, in the context of corrupt dealings, such as those by governments or large corporations, a slush fund can have particular connotations of illegality, illegitimacy, or secrecy in regard to the use of this money...
operation (see below) for the Workers' Party, a scheme denounced by one of his former secretaries, Rogério Buratti.
In 1995, he received the UNICEF
United Nations Children's Fund
United Nations Children's Fund was created by the United Nations General Assembly on December 11, 1946, to provide emergency food and healthcare to children in countries that had been devastated by World War II...
’s Child and Peace prize for his work for the rights of infants and adolescents. In 1996, he received the Juscelino Kubitscheck Award from SEBRAE-SP, the São Paulo chapter of the Serviço Brasileiro de Apoio às Micro e Pequenas Empresas (Brazilian Service for Assistance to Small Businesses), for being the mayor of the São Paulo state city who offered the best support to small business. In 2002, he received the Mário Covas Award from SEBRAE again for his work on behalf of local small businesses.
Palocci was elected federal deputy in 1998. In 2000, he resigned his office so that he could run again in the mayoral election in Ribeirão Preto. He won the election, and thus was mayor of Ribeirão Preto again from 2001 to 2002. He resigned in 2002 so he could help Luiz Inácio Lula da Silva
Luiz Inácio Lula da Silva
Luiz Inácio Lula da Silva , known popularly as Lula, served as the 35th President of Brazil from 2003 to 2010.A founding member of the Workers' Party , he ran for President three times unsuccessfully, first in the 1989 election. Lula achieved victory in the 2002 election, and was inaugurated as...
's campaign for the Brazilian presidency. In 2003, when Lula was elected, Palocci officially resigned as the mayor of Ribeirão Preto and was nominated the Finance Minister of Brazil and became a key figure in the new government.
Along with former minister José Dirceu
José Dirceu
José Dirceu de Oliveira e Silva is a Brazilian politician.He participated in a revolutionary armed group following the Brazilian military coup of 1964, and was exiled in 1969. He returned in 1980 and was active politically, his highest post was as the chief-of-staff to Luiz Inácio Lula da Silva's...
(who resigned and subsequently lost his political rights for involvement with the Mensalão scandal
Mensalão scandal
The Mensalão scandal took place in Brazil in 2005 and threatened to bring down the government of Luiz Inácio Lula da Silva. Mensalão is a neologism and variant of the word for "big monthly payment"...
), Palocci was considered one of the most influential and strong ministers of Lula’s government.
On January 1, 2011, Palocci was appointed by President Dilma Rousseff as her Chief of Staff.
Mayoral Corruption allegations
In 2005, Antonio Palocci was also involved in the Mensalão scandalMensalão scandal
The Mensalão scandal took place in Brazil in 2005 and threatened to bring down the government of Luiz Inácio Lula da Silva. Mensalão is a neologism and variant of the word for "big monthly payment"...
, after being accused by Rogério Buratti, his former secretary in the Ribeirão Preto administration.
According to Buratti, between 2001 and 2004, Palocci received a R$50,000 monthly payment from Leão & Leão, a garbage collection company. Investigations are still underway.
Palocci, however, denied this and accused the prosecutors of leaking the preliminary results of an ongoing investigation.
Ministerial abuse of power
A new scandal began to unfold in 2006 after a Parliamentary Inquiry heard two witnesses who claimed that the minister had been to a manor houseManor house
A manor house is a country house that historically formed the administrative centre of a manor, the lowest unit of territorial organisation in the feudal system in Europe. The term is applied to country houses that belonged to the gentry and other grand stately homes...
in Brasilia which is suspected of functioning as a hub for fraudulent operations within the government, with the participation of some of his closest aids. Palocci had previously claimed he had never been at the house. Some Congressmen said at the time that he could face criminal charges for lying to a Parliamentary Committee.
The main witness in the case is Francenildo Costa, who was then the groundskeeper of the property. He said the minister had visited the house "on at least ten, twenty occasions" and said he could clearly recognize Palocci as the man he had seen in the meetings of senior PT members and governmental officials at the house.
A few days after Francenildo's deposition, his bank statement (from government-run Caixa Econômica Federal
Caixa Econômica Federal
Caixa Econômica Federal , also referred to as Caixa or CEF, is a Brazilian bank. It is the largest government-owned financial institution in Latin America. It is the largest bank in Brazil and in Latin America by assets....
) were suddenly and mysteriously leaked to the press. It seemed to indicate that the groundskeeper had a balance of R$ 38,860 (about US$ 18,000.00) in his account, which would be incompatible with his income. This was immediately linked by Congressmen to Francenildo's motivations for contradicting the Minister, apparently in an attempt to tarnish his credibility as a witness
Witness
A witness is someone who has firsthand knowledge about an event, or in the criminal justice systems usually a crime, through his or her senses and can help certify important considerations about the crime or event. A witness who has seen the event first hand is known as an eyewitness...
- although, in fact, he had been the second witness to contradict Palocci. The groundskeeper justified the figures by claiming that the money had been deposited by his alleged biological father, a relatively well-off businessman from the state of Piauí
Piauí
Piauí is one of the states of Brazil, located in the northeastern part of the country.Piauí has the shortest coastline of any of the non-landlocked Brazilian states at 66 km , and the capital, Teresina, is the only state capital in the north east to be located inland...
, in order to prevent a legal dispute over paternity
Paternity (law)
In law, paternity is the legal acknowledgment of the parental relationship between a man and a child usually based on several factors.At common law, a child born to the wife during a marriage is the husband's child under the "presumption of legitimacy", and the husband is assigned complete rights,...
. The alleged father confirmed he had deposited the money.
With this prompt explanation generally accepted, the focus of attention turned to the fact that the bank statement had been illegally revealed, in breach of Francenildo's fiscal privacy
Privacy
Privacy is the ability of an individual or group to seclude themselves or information about themselves and thereby reveal themselves selectively...
. The opposition and a great part of the media compared the illegal revelation of Francenildo's bank statement to state-orchestrated harassment. The Federal police began an investigation on the case, which soon spiralled into yet another scandal in the Lula administration: a series of officials and directors at the Caixa Econômica Federal (a state bank) confessed to having violated Francenildo's account's confidentiality following superior orders. The chain of command, police found, went up as far as the Ministry of Finance, and the Bank chairman said that he handed the details of the groundskeeper's account to Palocci personally. The Minister denied this, but abruptly resigned on March 27, 2006, being immediately replaced by economist Guido Mantega
Guido Mantega
Guido Mantega is a Brazilian economist, politician and currently Brazil's Finance Minister. He graduated in Economics from the Faculdade de Economia, Administração e Contabilidade of the University of São Paulo and is a professor of Economics at several leading universities of São Paulo.He has...
. http://www1.folha.uol.com.br/folha/brasil/ult96u77004.shtml