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Brazilian Social Security Officials Suspended in $1 Billion Pension Fraud Probe

Federal authorities investigate a scheme that diverted over 6 billion reais from retirees' pensions, suspending six officials, including the INSS head, and seizing assets worth 1 billion reais.

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Overview

  • The investigation targets 11 organizations that fraudulently deducted pension fees from retirees without their consent between 2019 and 2024.
  • Six officials from the National Social Security Institute (INSS), including its head Alessandro Stefanutto, have been suspended by court order.
  • Authorities executed 211 search and seizure warrants across multiple states, recovering assets valued at over 1 billion reais.
  • Federal police issued six arrest warrants, with three suspects already in custody and three still at large.
  • Potential charges for those involved include corruption, money laundering, document forgery, and criminal conspiracy.