The ministers of justice and the environment, Marcio Thomaz Bastos and Marina Silva, told reporters the group sold falsified licenses for 860 dollars to authorize logging on public lands in the state of Mato Grosso.

Of the 129 suspects, 47 are employees of Brazil's Environment Institute (Ibama), they said.

The investigation began 20 months ago, and involved 480 federal agents and 31 Ibama inspectors, they said.

According to the Environment Ministry, 1.9 million cubic meters (67 million cubic feet) of wood have been illegally cut -- enough to fill 76,000 trucks.

To conceal the plot, the suspects created 431 front corporations. Forty-two foresters have had warrants issued for their arrest, they said.