SAO PAULO May 12 Brazil federal police are
investigating loans by development bank BNDES to JBS
SA, the world's largest meat processor, a police
source told Reuters on Friday.
Police had earlier said they would detain 37 people for
questioning and conduct 20 search and seizure warrants as part
of a probe into an unnamed meatpacker.
Press representatives for JBS and BNDES did not immediately
respond to requests for comment.
Starting in June 2007, BNDES subsidiary BNDES Participações
SA handed out loans to fund 8.1 billion reais ($2.6 billion)
worth of acquisitions of other meatpacking firms, according to a
($1 = 3.14 reais)
(Reporting by Lisandra Paraguassu; Writing by Bruno Federowski)