Valter Cardeal, Eletrobras director for engineering and planning, and organiser of the government’s alternative-energy programme, is alleged to have defrauded the German bank KfW.
His brother Edgar, owner of energy consultancy DGE Desenvolvimento e Gestão de Empreendimentos, is accused of using political connections to pave the way for developers.
The scandals have broken just ahead of the presidential election run-off in which Rousseff leads José Serra in the polls.
Rousseff