Brazil security director accused of fraud

Updated: January 13, 2012, 11:33 AM ET
Associated Press

SAO PAULO -- Brazil's public prosecutor's office says the security director for the 2016 Olympics allegedly committed fraud while holding the same position during the 2007 Pan American Games in Rio de Janeiro.

Paula Amaral, a spokeswoman for the prosecutor's office, says Luiz Fernando Correa spent $20 million in 2007 for the purchase of security equipment that a later investigation found was worth $11 million.

She says the investigation was ordered because the purchase was made without comparing prices on the market. It's required by law for any government acquisition made without a bidding process.


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