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Corruption threatens Petrobras' expansion plans

An unfolding corruption scandal surrounding Brazil's Petrobras has shown up the dark side of Brazil's oil boom and is now threatening to derail the national oil company's ambitious expansion plans

The scandal first came to light during Brazil's presidential election earlier this year, when it threatened to sink president Dilma Rousseff's re-election campaign. But the scale of the corruption investigation has only become clear in recent weeks. With the help of Petrobras' former downstream director Paulo Roberto Costa, who struck a plea deal with prosecutors after his arrest in 2013, federal prosecutors have uncovered a vast web of graft that has ensnared the oil industry, leading engineering and construction firms and some of Brazil's top politicians.  Costa's evidence has laid bare a scheme in which he awarded contracts to engineering and development firms at inflated values and use

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