BRASILIA — Brazilian businessman Daniel Vorcaro, the owner of lender Banco Master, was detained on Wednesday in the latest phase of a probe after a judge cited a “strong indication” that Mr. Vorcaro attempted to bribe a former central bank director with gifts in return for preferential treatment.
The police operation dragged the Brazilian monetary authority into the center of a growing multibillion-dollar scandal.
Mr. Vorcaro was first arrested in November as part of a probe into the alleged issuance of fraudulent credit securities by Master, but was later released and ordered to wear an electronic ankle monitor.
The new detention was based on fresh evidence obtained by federal police, according to a Supreme Court ruling on Tuesday, including text messages from Mr. Vorcaro suggesting plans to assault a journalist.
The court also issued arrest warrants for Paulo Sergio Neves de Souza, former central bank supervision director, who was ordered to wear an ankle monitor, and Belline Santana, former head of the banking supervision department. Both Mr. Neves de Souza and Mr. Santana worked at the central bank until stepping down this year during an internal investigation.
On Wednesday, Brazil’s central bank said an internal review of Banco Master’s processes showed evidence that two employees, who it did not name, received improper advantages and were suspended. It added that it reported the suspected criminal activity to federal police.
Mr. Vorcaro’s lawyers said they denied the allegations, and they expected to demonstrate “the regularity of his conduct.”
Reuters could not immediately reach Mr. Neves de Souza, Mr. Santana, or their lawyers.
‘CRIMINAL ORGANIZATION’
Master, which held under 1% of Brazil’s banking assets, was liquidated in November due to what the central bank called a severe liquidity crisis, sharp financial deterioration and serious rule violations.
The liquidation came on the same day police launched the operation that led to Mr. Vorcaro’s initial arrest.
Federal police in a statement on Wednesday said the new set of raids was aimed at investigating threats, corruption, money laundering and the “invasion of computer systems carried out by a criminal organization.”
INFORMAL CENTRAL BANK CONSULTANCY
According to the court ruling, Mr. Neves de Souza and Mr. Santana advised Mr. Vorcaro while serving at the central bank, giving him suggestions on how to act in a meeting with the institution’s president and reviewing documents that the lender planned to submit to the central bank.
Judge Andre Mendonca pointed to a “strong indication” that Mr. Vorcaro aimed to unduly influence Mr. Neves de Souza through gifts. He noted the businessman suggested providing travel guides for a trip to Orlando, Florida, including to Disney and Universal theme parks.
As the central bank’s supervision director from 2017 to 2023, Mr. Neves de Souza oversaw the institutions making up the national financial system and monitoring their stability.
‘BREAK ALL HIS TEETH’
The ruling also said Mr. Vorcaro allegedly hired a man, identified as Luiz Phillipi Mourao, to coordinate a group running surveillance, gathering information, and monitoring people whom he saw as adversaries.
Police said Mr. Mourao tried to commit suicide on Wednesday while in custody.
Reuters could not immediately reach a representative for Mr. Mourao.
Some text messages obtained during the probe showed Mr. Vorcaro telling the associate he would like to have a journalist beaten up. “Break all his teeth, in a robbery,” he said.
The court ruling redacted the journalist’s name, but newspaper O Globo reported the messages referred to its prominent columnist Lauro Jardim.
O Globo said it “vehemently repudiates the criminal initiatives planned against Jardim.”
Mr. Vorcaro said through his press office that he never intended to intimidate or threaten journalists, and that the messages were taken out of context. — Reuters
