Fux cites Banco Master in defense of Rio politicians

STF Justice Luiz Fux defended Rio de Janeiro from generalized criticisms by colleagues during a hearing on state elections, citing the Banco Master scandal involving other court members. He stated that good Rio politicians, if they go to hell, will be accompanied by high authorities. The exchange took place in a session on the interim command of Palácio Guanabara.

STF Justice Luiz Fux responded to remarks by Gilmar Mendes, Alexandre de Moraes, and Flávio Dino on Rio de Janeiro's institutional degradation. During the hearing on elections for the interim governorship of Palácio Guanabara, Fux described the criticisms as a 'manifestation of profound discredit' generalized against the state.

Fux pointed to national scandals judged by the STF, such as Mensalão, Lava Jato, INSS, and Banco Master, arguing corruption is not concentrated in Rio. 'There are good politicians in Rio de Janeiro state, representing it in the Federal Chamber. They are excellent politicians. So if these politicians have to go to hell, they will be accompanied by high authorities,' he said.

The Banco Master case involves R$80 million payments from 2024 to 2025 to the office of Moraes' wife, Viviane Barci de Moraes, and involvement of Dias Toffoli's family companies in fraudulent funds, leading to a justice leaving the rapporteurship in February. Gilmar Mendes flew on a plane from Prime Aviation, owned by Daniel Vorcaro, a bank partner.

Gilmar cited PF Director Andrei Rodrigues' information on 32 or 34 Alerj deputies receiving jogo do bicho stipends. Flávio Dino listed probed or jailed ex-governors like Sérgio Cabral, Luiz Fernando Pezão, and Cláudio Castro, convicted by TSE 5-2. Moraes referenced the conviction of Domingos and Chiquinho Brazão in the Marielle Franco case.

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Realistic depiction of STF Justice André Mendonça meeting with Federal Police on Banco Master case investigations.
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Mendonça schedules new meeting with PF on Banco Master case

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STF Justice André Mendonça has called a new meeting with the Federal Police for Monday (23) to discuss the progress of investigations into Banco Master and next steps. This follows his assumption of the case's rapporteurship, replacing Dias Toffoli amid controversies. The meeting will include preliminary reports and review of prior decisions.

Supreme Court Justice Alexandre de Moraes denied pressuring the Central Bank president in favor of Banco Master, embroiled in billion-dollar frauds. Reports indicate contacts between Moraes and Gabriel Galípolo, but both claim the meetings addressed the Magnitsky Act. The case has spotlighted judiciary ties and calls for investigation from opponents.

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STF President Luiz Edson Fachin advocated for judges' impartial distancing and resumed discussions on an ethics code in response to the Banco Master crisis. In an interview, retired Justice Luís Roberto Barroso acknowledged a 'difficult moment' for the court but urged caution in judgments. The scandal impacts ministers like Alexandre de Moraes and Dias Toffoli, with revealed messages and business ties.

Justice Dias Toffoli, rapporteur of the inquiry into the R$12 billion fraud between Banco de Brasília (BRB) and Banco Master, prepared 81 detailed questions for banker Daniel Vorcaro, who was questioned on December 30. The queries examine suspicious transactions, failures in Central Bank oversight, and potential political connections. Toffoli lifted the secrecy of the depositions to progress the probe.

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Minister Dias Toffoli stepped down from the Master case relatoria at the STF after a closed meeting with other ministers, convened by President Edson Fachin due to a Police Federal report arguing his suspicion. The Court issued a joint note stating no impediment exists, and the relatoria was reassigned to André Mendonça. Parties and police delegates' associations reacted in defense of judicial institutionalism.

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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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.

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