Vorcaro and ex-BRB president face confrontation at STF

Daniel Vorcaro, owner of Banco Master, and Paulo Henrique Costa, former BRB president, underwent a confrontation at the Supreme Federal Court due to contradictions in their statements to the Federal Police. The procedure took place on the night of December 30 and lasted nearly seven hours in total. The Central Bank's director, Ailton de Aquino, was excused from the confrontation.

On the night of December 30, the Supreme Federal Court (STF) hosted a confrontation between Daniel Vorcaro, controller of Banco Master, and Paulo Henrique Costa, former president of Banco de Brasília (BRB), as part of the investigation into the bank's scandal. Individual statements, taken by Federal Police delegate Janaína Palazzo, began at 2 p.m. and revealed discrepancies that justified the joint confrontation.

Vorcaro was the first to testify, speaking for nearly three hours, while Costa and Ailton de Aquino, the Central Bank's (BC) Fiscalization Director, waited. Costa gave his statement from around 5:30 p.m. for about two hours, followed by Aquino until approximately 9 p.m. The confrontation, involving only Vorcaro and Costa, ended at 9:35 p.m., with an auxiliary judge from Minister Dias Toffoli's office, the case's rapporteur, present.

The process has been confidential since early December, under Toffoli's oversight. The probe examines the attempted sale of Master, which allegedly involved forging R$12.2 billion in payroll loan portfolios sold to BRB — R$6.7 billion in fake contracts and R$5.5 billion in premiums. The bank was liquidated on November 18, and Vorcaro was imprisoned for 12 days, now wearing an electronic ankle monitor.

Entities like Febraban and ABBC defended the BC's independence in a joint statement, emphasizing the role of technical regulators. Vorcaro's defense denies seeking to annul the liquidation, arguing the case reached the STF due to a deputy's privileged forum. Recently, court officials sought liquidator Eduardo Félix Bianchini, but Toffoli's office denied responsibility for the summons. A decision from Toffoli is expected soon.

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Senate committee cancels hearing with Daniel Vorcaro in Master case

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The Senate's Economic Affairs Committee canceled on Monday (9/3) the public hearing scheduled for Tuesday with banker Daniel Vorcaro, controller of Banco Master, who is preventively detained in Brasília. The decision comes amid investigations into financial frauds and mentions of STF ministers in data from Vorcaro's cell phone. Minister André Mendonça authorized unrecorded lawyer visits to the detainee.

The STF's Second Chamber begins judging the preventive detention of Banco Master owner Daniel Vorcaro in a virtual plenary starting Friday (13). This follows his March 4 arrest in Operation Compliance Zero and the recent cancellation of a Senate hearing. The Federal Police believes continued detention boosts chances of collaboration in billion-dollar fraud probes, while his defense seeks release.

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Federal Police arrested Paulo Henrique Costa, former Banco de Brasília (BRB) president, on Thursday (16) over a bribery scheme tied to Banco Master. This follows earlier investigation revelations, including a note suggesting Costa's efforts to save the bank through credit portfolio purchases amid potential R$5 billion losses for BRB. Costa allegedly received six properties worth R$146.5 million from Daniel Vorcaro to conceal irregularities. The arrest, authorized by STF's André Mendonça, led to transfer to Papuda prison.

Banker Daniel Vorcaro, owner of Banco Master, declared R$570 million income to Brazil's Federal Revenue in 2024, receiving a R$28,000 income tax refund. The data, obtained by Folha and sent to the joint INSS CPI, show a R$1.23 billion asset jump during the period, amid probes into frauds at the liquidated bank.

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