Lula Proposes Reforms

Brazilian President Luiz Inacio Lula da Silva proposed increasing fines for money laundering to $816,000 in response to a congressional probe into allegations that his own Workers’ Party used funds paid to a state contractor to finance campaigns and bribe lawmakers. Lula also proposed requiring financial institutions to be informed a day ahead of any planned transfers and withdrawals that surpass limits to be set by the central bank. The Workers´ Party has denied any wrongdoing by its board and says it is looking into fundraising decisions by some members.