Brazil speaker quits over 'graft'

Mr Cavalcanti insists he will fight the allegations in court

One of Brazil's most senior politicians has resigned from his post amid allegations that he accepted bribes.

Severino Cavalcanti quit as speaker of Brazil's lower house of Congress despite denying claims that he demanded kickbacks from a businessman.

The Workers' Party of President Luiz Inacio Lula da Silva has been dogged by corruption scandals in recent months.

Mr Cavalcanti is not a member of the party but he is an ally - and the most senior politician to quit so far.

Under Brazil's constitution, the leader of the lower house is third in line to the presidency, prompting urgent moves to appoint a successor.

Mr Cavalcanti, 74, told Congress that by resigning, he would find it easier to clear his name in Brazil's courts.

Losing credibility

The owner of a parliamentary restaurant accused Mr Cavalcanti of taking $48,000 in bribes during 2002 and 2003 in return for securing a continuing catering contract.

He denies all accusations, but his signature appeared to be on a crucial document showing the money was cashed by his secretary.

The BBC's Steve Kingstone, in Sao Paolo, says the immediate priority for both government and opposition is to find a replacement who commands respect.

The credibility of Brazil's Congress has been battered by various corruption scandals, and all sides now agree that a fresh start is essential.

The accusations have damaged Lula's government's chances of re-election in 2006 and held up a programme of economic reforms.