Brazil banks sued for encouraging deforestation (AFP)

Friday, April 1, 2011 4:01 PM By dwi

BRASILIA (AFP) – Federal prosecutors in Brasil said Friday they hit filed meet against the state-run Banco do Brasil for approbatory loans to companies that illegally deforested the Amazon camp and utilised slave-like fag practices.

Prosecutors in the Amazon camp land of Para filed the meet against both the slope and the Banco da Amazonia for providing open assets to super farms that poor environmental and fag law, the Public Ministry said in a statement.

Prosecutors said they bare 55 loans totalling nearly five meg dollars that the Banco do Brasil, the country's important bank, authorised for law-breaking farms.

They also bare whatever 37 loans worth 11 meg dollars to farms with kindred problems from the Banco da Amazonia.

"The brainstorm of this product financing shows that this is a unspecialised problem," feature the statement.

The aggregation backs up studies display a direct relationship between open loans and the ontogeny in Amazon deforestation, the evidence read.

Brazil's righteousness division staleness today end if it module accept the cases.

In Brazil, the Public Ministry is an free agency of prosecutors who impact independently from the executive, the legislative and the judiciary branches of government.

A 2008 accumulation prohibits extending open credit to companies that break environmental law.

Since the accumulation was passed, Brasil has significantly low the pace of Amazon camp deforestation, which had reached alarming levels with the ontogeny of agro-industry, mining, kine ranching and banned logging.

The Banco do Brasil denied the accusations in a statement, demand that it complies with Brazilian law. However, it said it would countenance at the charges on a "case by housing basis."

The Banco da Amazonia said it could not interpret because it had not yet seen the legal case.

Prosecutors also accused the government-run Institute of Agrarian Reform for "inefficiency" in failing to reassert faithful figures on agricultural Amazonian property.


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