Brazil Widens Banco Master Fraud Probe With R$5.7 Billion Seized, Evidence Sent to PGR

Overview

• Federal Police executed 42 search-and-seizure warrants in five states and blocked or seized R$5.7 billion, collecting cash, electronics, weapons and 23 vehicles valued at about R$16 million.
• Targets included Daniel Vorcaro’s father Henrique, his sister Natália and his brother-in-law Fabiano Campos Zettel, who was detained at Guarulhos before a flight to Dubai and released with a travel ban, while businessman Nelson Tanure had his phone seized and Reag founder João Carlos Mansur was also targeted.
• The second phase centers on links between Banco Master and funds managed by Reag, with investigators examining suspected criminal organization, fraudulent management of a financial institution, market manipulation and money laundering.
• Supreme Court minister Dias Toffoli authorized the actions, criticized the Federal Police over timing and initially ordered evidence kept at the court before reversing to send it to prosecutors, highlighting tensions over custody and oversight.
• The Central Bank’s November 2025 liquidation of Master left about 1.6 million investors awaiting FGC reimbursement with an estimated R$41 billion shortfall, as the BC and PF reaffirmed cooperation and President Lula convened top institutions to coordinate a state-level response under incoming justice minister Wellington César.