Overview
Operation Car Wash, launched in 2014 after an investigation into Petrobras, became the largest corruption scandal in Latin American history, implicating top politicians, business executives, and impacting economies across the region.
Origins of Operation Car Wash
- Began with the arrest of a minor criminal laundering money for Petrobras, Brazil’s state-owned oil company.
- Investigation revealed a vast bribery network involving Petrobras executives, construction firms, and politicians.
Scope and Impact in Brazil
- Billions of dollars were paid in bribes through coordinated efforts at high levels.
- The scandal implicated Brazil’s top political figures, including presidents—one convicted, another charged.
- Economic fallout included a deep national recession and the loss of nearly 500,000 jobs.
- The scandal triggered a major political crisis within Brazil.
Regional Effects Across Latin America
- Politicians in multiple Latin American countries were found complicit in the corruption scheme.
- The scandal’s reach demonstrated the interconnectedness of political and business corruption beyond Brazil’s borders.
- Countries across the region continue to grapple with the aftermath and reforms prompted by these revelations.
Continuing Consequences
- The investigation and its fallout have had enduring effects on governance, politics, and economies in Latin America.
- Ongoing challenges remain in addressing political corruption and restoring public trust in institutions.