(Adds J&F statement, paragraphs 7-8)
SAO PAULO Feb 6 Brazilian federal prosecutors
asked a court on Monday to reimpose preventive measures against
two key suspects in a corruption probe dubbed Operation
Greenfield, which is investigating fraud at state-run companies'
According to the prosecutors' statement, defendants Joesley
Batista, from the family that controls meatpacker JBS SA
, and José Carlos Grubisich Filho, chief executive of
pulp producer Eldorado Brasil Celulose SA, breached an agreement
that had been signed with the prosecutors related to the
Asking the court to recognize that the defendants "violated
principles of good faith" contained in the agreement, the
prosecutors petitioned a judge to block assets worth as much as
3.8 billion reais ($1.22 billion) belonging to the investigated
The prosecutors said the sum would serve as "a guarantee" to
compensate losses allegedly caused by the defendants in their
business dealings with state-run companies' pension funds, as
well as state-bank Caixa Econômica Federal and the FGTS
workers' severance fund.
The probe of the pension funds is one in a string of
corruption investigations into the vast overlap of Brazilian
business and politics.
J&F, the Batista family holding company that controls both
JBS and Eldorado, said it was "surprised" by the prosecutors'
petition concerning both executives, calling their allegations
"baseless and irresponsible."
Referring to Eldorado specifically, J&F said in a statement
that all actions taken by the management and the board of the
pulp producer were legal, communicated in a transparent manner
and made in accordance with the company's bylaws.
($1 = 3.1150 reais)
(Reporting by Ana Mano; Editing by Bill Rigby and Peter Cooney)