Brazil's Supreme Court outlaws companies financing political campaigns

Brazil's Supreme Court decided on Thursday to declare those laws permitting companies to make political campaign donations as unconstitutional.

During the session, judge Luiz Fux defended the prohibition of such donations as bringing greater equality to the electoral system, saying "We have reached an absolutely chaotic state, where economic power illegally captures political power."

Judge Rosa Weber said that the influence of economic power had compromised "the legitimacy of elections."

"This influence...has turned elections into a political game with marked cards, into a hideous pantomime in which the voter becomes a puppet. It at once destroys citizenship, democracy, and the sovereignty of the people," she said.

The financing of campaigns has come under intense debate over the last year, especially since the corruption scandal within Petrobras has been amplified.

Millions of U.S. dollars were funneled from the oil giant into private accounts through kickbacks, mainly from construction companies that won juicy contracts to build oil infrastructure.

Jose Dirceu, who was the top aide to ex-President Luiz Inacio Lula da Silva (2003-2010) during his first term in office, was arrested in connection to a kickback scheme at the state oil giant.

This decision also provides backing for President Dilma Rousseff to veto a law proposal currently in Congress which would allow companies to donate to political parties.

Last week, the Chamber of Deputies approved a law that would allow companies to donate to political parties, and not to individual candidates, as what is being done in the current situation.

However, it is widely expected that Rousseff may veto this law if it passes through the Senate. Endi