RIO DE JANEIRO — Brazilian federal police on Thursday executed search and seizure warrants targeting a senior senator aligned with President Luiz Inácio Lula da Silva as part of an expanding corruption and money laundering investigation linked to the failed Banco Master, according to authorities and court documents obtained by The Associated Press.
The operation focused on Sen. Jaques Wagner, leader of the ruling Workers’ Party in Brazil’s Senate and a longtime ally of Lula. Investigators are examining alleged financial benefits Wagner may have received in connection with Banco Master and its former chief executive, Daniel Vorcaro.
Police said in a statement that officers carried out 18 search and seizure warrants across the states of Bahia and São Paulo, as well as the Federal District, as part of an investigation into suspected passive corruption, active corruption and money laundering. The statement did not identify the individuals targeted.
Court documents signed Wednesday by Supreme Court Justice André Mendonça and reviewed by AP identified Wagner among the subjects of the investigation and authorized the searches.
Investigators Examine Financial Benefits
According to the court documents, investigators found indications that Wagner may have received undue economic advantages, including the acquisition of a luxury apartment in the northeastern city of Salvador valued at approximately 2.45 million reais, or about $470,000.
Authorities are also investigating whether the senator used his position in Congress to support matters of interest to Banco Master, including issues involving payroll loans and deposit insurance regulations, the documents said.
Federal police seized approximately $50,000 during Thursday’s operation in Brasília. Brazilian media outlets reported that the funds were found at one or more locations linked to Wagner.
Senator Rejects Allegations
Speaking to broadcaster Band on Thursday, Wagner denied receiving money from anyone connected to Banco Master and said he had nothing to conceal.
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The senator also disputed suggestions of a close relationship with Vorcaro, who previously led Banco Master and is currently in custody.
“My relationship with Daniel Vorcaro is practically nonexistent… I met Daniel only twice,” Wagner said.
Later Thursday, Wagner’s press office released a statement denying that he had acted on behalf of Banco Master. The statement also said the cash seized by authorities had been legally obtained and that the apartment cited by investigators was never part of the senator’s assets.
Banking Scandal Draws National Attention
The investigation stems from the collapse of Banco Master, which held assets exceeding $16 billion before Brazil’s Central Bank shut down the institution in November.
Vorcaro, who is at the center of the investigation, was arrested in March and has since sought a plea agreement with authorities.
Federal police estimate that fraud linked to the bank may total approximately 12 billion reais, or about $2.3 billion.
The case has already implicated several political figures, including Sen. Flávio Bolsonaro, and is expected to remain a significant issue ahead of Brazil’s general election scheduled for October.
Authorities continue to investigate the alleged scheme under the supervision of Brazil’s federal police and Supreme Court.
Tags: Brazil, Luiz Inácio Lula da Silva, Jaques Wagner, Banco Master, Daniel Vorcaro, Corruption Probe, Federal Police, October Election
