Brazil Delays Anti-Gang Bill as Federal Police Arrest Ex-INSS Chief in Sweeping Fraud Probe

Overview

• Chamber President Hugo Motta postponed the PL Antifacção vote and set a single‑item session for Tuesday, Nov. 18, after party leaders requested more time.
• Relator Guilherme Derrite’s fourth draft retains the ‘domínio social estruturado’ framework, introduces a definition of criminal faction, channels seized assets to the PF’s FUNAPOL when cases are federal, and adds drone use as an aggravating factor.
• Governors urged hearings with the Three Powers and state authorities before passage, and President Lula gathered ministers to coordinate a security response as pressure over public safety intensifies.
• The PF and CGU’s Operação Sem Desconto executed 10 preventive arrests and 63 searches across 14 states and the Federal District, detaining ex‑INSS president Alessandro Stefanutto, seizing cash, a rifle and pistol, and luxury vehicles including a Cadillac and a Mustang; STF minister André Mendonça authorized the measures, and Conafer’s president is wanted.
• Investigators say the INSS fraud scheme paid Stefanutto up to R$250,000 per month and sent at least R$14.7 million to federal deputy Euclydes Pettersen, citing messages and transfer records, while separate PF wiretaps in Operação Zargun describe the Comando Vermelho seeking political cover in Rio.