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The mayor of Venice is under investigation in a corruption scandal that has landed his top public works official in jail for an alleged system of kickbacks in return for granting favors to developers, Italian media reported on Tuesday.
Mayor Luigi Brugnaro along with two aides are under investigation for allegedly agreeing to ensure approvals for a 348,000-square-meter (3.7 million-square-feet) residential and commercial project by a Singapore developer in exchange for 150 million euros ($164 million), the news agency ANSA reported.
The development was slated for a piece of land that Brugnaro bought for five million euros at a public auction before he was mayor, and which was placed under blind trust when he took office. The value of the land, on the mainland facing the Venetian lagoon, rose after it was slated for a public project during his tenure, ANSA said.
Investigators also are looking into the sale of a 16th Century palace by the city to the same Singapore developer for 10 million euros, allegedly 4 million euros below its value, the news agency said.
Brugnaro, who faced calls for his dismissal, denied wrongdoing, saying he was “extraneous” to the investigation. He said that it was not possible that he could have intervened to guarantee the land was approved for construction, since it had already been converted before he was mayor.
The wider investigation is focused on the city’s top public works official, Renato Boraso, who is accused of “systemically commodifying his public function, selling it to private interests,’’ according to the arrest warrant. The investigating judge wrote that Boraso continued carrying out illegal activities even after being notified he was under investigation.
Boraso, whose home was searched on Tuesday, is under investigation for corruption, money laundering and false invoicing.
In all, 18 people are under investigation, including developers, entrepreneurs and public officials. One developer was jailed during the investigation, while seven suspects were under house arrest.
