Brazil's Federal Police Launch New Banco Master Raids, Freeze R$5.7 Billion

Overview

• Minister Dias Toffoli of the Supreme Federal Court authorized 42 search-and-seizure warrants executed across São Paulo, Bahia, Minas Gerais, Rio Grande do Sul and Rio de Janeiro, including addresses on Avenida Faria Lima.
• Targets included Banco Master owner Daniel Vorcaro, his father, sister and brother-in-law Fabiano Zettel, as well as businessman Nelson Tanure and investor João Carlos Mansur; Zettel was briefly detained at an airport and Tanure had his phone seized.
• Court-ordered measures blocked and sequestered assets exceeding R$ 5.7 billion, and agents collected luxury cars, cash, watches, electronics and a firearm as evidence.
• Investigations focus on suspected criminal organization, fraudulent bank management, market manipulation and money laundering involving fabricated credit instruments and CDBs advertised with unreal returns, with losses reported around R$ 12 billion.
• Parallel to the probe, the deposit insurance fund FGC prepares about R$ 41 billion in reimbursements to roughly 1.6 million clients, while BRB says the DF government may inject capital if losses from R$ 12.2 billion in allegedly fake portfolios are confirmed.