Roundup: Brazil's supreme court releases testimony about politicians' involvement in Petrobras corruption scandal

Brazil's Supreme Court released the testimony of a senator alleging President Dilma Rousseff and a number of politicians are involved in the Petrobras corruption scandal.

Delcidio do Amaral, the ruling Workers' Party Senator, was arrested last year on allegations of obstructing a graft probe into the state owned oil and gas giant Petrobras. Local news magazine Veja reported on Tuesday that he had made a plea bargain with prosecutors. The Supreme Court confirmed and made his testimony public in a document.

According to the testimony, the President tried to halt the Petrobras graft probe by keeping Petrobras directors involved in corruption in the company and by nominating a judge to a high court to secure the release of businessmen detained in the case, but the judge didn't release anyone involved.

The document also alleges that Aloizio Mercadante, the Education Minister and Rousseff's former chief of staff, tried to bribe Amaral into silence via an aide, assuming that Mercadante was acting in Rousseff's name.

In a news conference Tuesday afternoon, Mercadante acknowledged speaking with Amaral's aide, but he said it was just because he felt sorry for Amaral's family. He denied the accusations and insisted the conversation was unknown to Rousseff.

Rousseff's office also said she "vehemently and indignantly repudiates the attempt to associate her name with Mercadante's personal initiative."

Amaral also said Rousseff's first presidential campaign in 2010 was partially funded by illegal money mentioned in his testimony.

Meanwhile, Rousseff' s predecessor and mentor Luiz Inacio Lula da Silva, was also mentioned in the long testimony. Amaral said Lula promised 220 million reais to Marcos Valerio for his silence.

Marcos Valerio is one of the main accused in the Mensalao case, in which the ruling Workers' Party use public funds to pay coalition parties for political support. The case occurred in 2005 during Lula's administration, but Lula denied any knowledge of the scheme.

The Lula Institute released a statement in which they said Lula would not comment on gossip, and that any accusation against Lula would have to be backed up by solid evidence to merit a response.

The opposition did not go scot-free either. In the testimony, Amaral accused his fellow Senator Aecio Neves, who narrowly lost to Rousseff in the 2014 presidential election, of taking hefty bribes in a corruption scheme at power transmission company Furnas, and benefiting from another scheme involving the Brazilian Post company.

Neves responded by saying these accusations are merely hearsay.

The testimony also contained accusations against other prominent politicians including Vice President Michel Temer, Head the House of Representatives Eduardo Cunha, Head of Senate Renan Calheiros and Head of the Supreme Court Ricardo Lewandowski.

Amaral's testimony came as widespread speculations that Rosseff was going to appoint Lula to a cabinet position.

Sao Paulo state prosecutors have requested the arrest of Lula for money laundering in Petrobras case. Accepting a cabinet position would make it more difficult for Lula to be detained in the short term since the Brazilian law only allows the Supreme Court to authorize the investigation, imprisonment and trial of cabinet members.

Brazilian media also speculated that Lula's enduring popularity could also help Rousseff, who is facing impeachment efforts and widespread public dissatisfaction.

About 3 million people across Brazil protested against Rosseff and her Workers' Party on Sunday due to the Petrobras scandal and the worst economic downturn in decades. Endi