TCU Opens Review and Launches On-Site Inspection of Central Bank Over Banco Master Liquidation

Overview

• TCU president Vital do Rêgo said the court formally began proceedings and an inspection at the Central Bank on Jan. 2, with technical staff working during the recess.
• The inspection, described as unprecedented, follows the BC’s decision to allow consultation of source documents only inside its secure facilities after sending a summary signed by directors Ailton de Aquino and Renato Gomes.
• Relator Jhonatan de Jesus had demanded the BC’s technical basis and questioned possible “precipitation,” while other TCU ministers are preparing to swiftly counter any recess injunction that might suspend the liquidation.
• In filings to the TCU, the Central Bank cited a severe liquidity crisis and repeated regulatory breaches at Master and reported new fraud indications—including alleged recycling of funds through chains of vehicles—after the Nov. 18 liquidation.
• Separately, the STF-led criminal inquiry, moved to the Court due to a mention of Deputy João Carlos Bacelar, continued with Dec. 30 depositions as jurists criticized Justice Dias Toffoli’s handling as potentially overstepping and vulnerable to defense challenges.