SÃO PAULO—Brazilian lawmakers criticized the government for spying on diplomats and other foreign nationals on Tuesday, and demanded public hearings over the practice.

Brazil's government on Monday admitted spying on U.S. and other foreign diplomats in 2003 and 2004, acknowledging the broad outlines of a newspaper report by Folha de S. Paulo, which cited classified documents it said it received from people within the Brazilian intelligence community.

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