Brazilian Supreme Federal Court (STF) Justice André Mendonça is moving quickly in two of the country’s largest current corruption investigations, even as political and legal pressure builds around the cases.
The first probe centers on Banco Master, a financial institution investigated by the Federal Police (PF) over alleged fraud and the attempted sale of the bank to Banco de Brasília (BRB), a public bank linked to the Federal District government. The second concerns alleged fraudulent deductions from pensions and social-security benefits paid by the National Social Security Institute (INSS), Brazil’s federal pension agency.
Two Expanding Cases
According to Gazeta do Povo, Mendonça has authorized six phases of Operation Compliance Zero since taking over the Banco Master case in February. The measures include 14 preventive arrests, 61 search-and-seizure warrants, asset freezes of more than R$22 billion (roughly USD 4 billion at recent rates) and operations in seven states plus the Federal District.
Recent targets cited by the newspaper include Senator Ciro Nogueira, president of the center-right Progressistas party (PP); former Rio de Janeiro governor Cláudio Castro, of the Liberal Party (PL); relatives of former Master owner Daniel Vorcaro; and people suspected of leaking or handling sensitive information in the case.
In the INSS case, the Federal Police and the Office of the Comptroller General (CGU) launched a new phase of Operation Sem Desconto on May 27. G1 reported that the operation sought to combat fraud in deductions from retirees and pensioners, while Mendonça requested a detailed report on people already targeted by police operations and the status of each inquiry.
Police Changes Draw Scrutiny
The INSS investigation has become politically sensitive after the PF moved the case from its division for social-security crimes to the Coordination of Inquiries in Higher Courts, which handles cases involving officials with special jurisdiction before senior courts.
Folha de S.Paulo reported that the PF leadership sent Mendonça a formal explanation saying the change was “bureaucratic” and did not alter the substance of the investigation. The corporation said the move was designed to improve efficiency and continuity because the new unit has permanent structure for sensitive cases before the STF.
The change drew criticism from opposition politicians, who alleged it could shield Fábio Luís Lula da Silva, known as Lulinha, the eldest son of President Luiz Inácio Lula da Silva. Folha reported that investigators are looking into his links to Antônio Carlos Camilo Antunes, a lobbyist known as “Careca do INSS.” The PF says the investigative team continues to work on the case and was reinforced, not weakened.
G1 reported that Mendonça has told investigators in both the INSS and Banco Master cases not to pursue anyone unfairly, but also not to spare anyone. The justice has not yet received a plea-bargain proposal from Daniel Vorcaro or from former BRB president Paulo Henrique Costa, according to the report.
Risk of Reversal
The Banco Master case is also facing turbulence inside the STF. Agência Brasil reported that Mendonça voted on May 22 to maintain the preventive detention of Henrique Vorcaro, Daniel Vorcaro’s father, who was arrested in the sixth phase of Operation Compliance Zero. Justice Gilmar Mendes then requested more time to review the case, suspending the panel’s analysis while leaving the arrest in place.
Investigators say Henrique Vorcaro helped his son intimidate adversaries and conceal assets. His defense lawyers said the arrest was unnecessary, according to Agência Brasil.
The legal debate has reached Congress. In a May 25 Senate speech reported by Agência Senado, Senator Eduardo Girão of Novo, a liberal-conservative party, accused Mendes of preparing the ground to annul Banco Master proceedings and praised Mendonça’s handling of the case. Girão also claimed that a proposed plea deal by Daniel Vorcaro would have spared powerful figures in all three branches of government. Those claims were made in a political speech and have not been independently established by the sources.
Gazeta do Povo reported that Mendonça has adjusted the wording of some decisions to avoid legal vulnerabilities, including by removing broader references to public confidence in the judiciary and citing precedents from other STF justices. The case now tests whether Brazil’s courts and police can pursue large corruption inquiries without repeating procedural fights that helped undo parts of Operation Car Wash, the anti-corruption probe that began in 2014.