10 May 2019
Brazilian police launched an operation on Thursday to arrest 17 people suspected of involvement in a scheme to launder money and siphon off funds at state-controlled Banco do Brasil SA, authorities said.
The investigation targeted employees of Banco do Brasil and businessmen linked to firms set up to collect debt in arrears on behalf of the bank, according to a statement describing the actions carried out by civil police in Brasília.
The group may have siphoned off 26 million reais ($6.5 million), authorities said.
Banco do Brasil said in a statement to Reuters that it detected evidence of possible fraud through internal controls. The bank informed the police and it has been cooperating with the investigation, the statement said.
Authorities also said 28 search warrants were executed in the states of Goiás, São Paulo, Minas Gerais, Pernambuco, Paraná, Santa Catarina, Mato Grosso and Rio de Janeiro as well as in the federal capital Brasília.
By Pedro Fonseca, Reuters, 9 May 2019
Read more at Reuters
Count reading this article to your CPD minutes, by signing up to our CPD WalletFREE CPD Wallet