Following the STF confrontation between Banco Master's controller Daniel Vorcaro and ex-BRB president Paulo Henrique Costa, the scandal deepens with TCU scrutiny of the Central Bank and new revelations of political ties and massive fraud risks. Experts urge full transparency to restore institutional trust.
Banco Master was liquidated by the Central Bank on November 18, shortly after Federal Police arrested controller Daniel Vorcaro on November 17. The scandal involves BRB—a Federal District government-controlled bank—injecting funds in March via non-voting shares, retaining Vorcaro despite no need for bailout in a healthy institution. An initial Chinese capital deal was vetoed by the BC.
Vorcaro’s political links surfaced: Chamber leaders pushed a bill days before BC veto to allow Congress dismissal of BC directors. Post-liquidation, state pension funds (Rio, Amapá) and municipal ones invested heavily in Master.
Investigations reveal R$12 billion in fake credit portfolios sold to BRB and BC-flagged frauds tied to a firm linked to PCC faction. Total reimbursements to clients could reach R$50 billion.
After the December 30 STF confrontation under Minister Dias Toffoli (detailed in prior coverage)—which he later adjusted amid criticism—concerns mount. Toffoli assumed the case under secrecy; he traveled with a Master-linked lawyer and addressed a R$129 million contract query involving Alexandre de Moraes' wife's firm (denied as irregular).
TCU Minister Jhonatan de Jesus (Congress appointee) ordered BC inspection and hinted at reversing liquidation, fueled by pro-Master social media influencers. Amid eroding state credibility, a rigorous, transparent probe is essential.
