President pointed out ‘relevant risk to the public interest’ given the possibility that the ‘improvability of BRB’s recovery measures’ could
The president of the Federal Supreme Court (STF), Edson Fachin, suspended the decision that prohibited the sale of movable and real estate assets of the Federal District government for the financial recovery of Banco de Brasília (BRB). The opinion was published late this Friday night (24).
“O Banco de Brasília plays a central role in the financial system of the Federal Districtbeing responsible for the operationalization of relevant social programs, for paying public servants, for managing significant volumes of deposits – including judicial ones – and for granting credit on a significant scale to the local economy”, wrote Fachin, who understood the allegations of “serious injury” as plausible, emphasizing “the evident concrete risk to the economic order”, given the relevance of the BRB.
O president also pointed out “relevant risk to the public interest” given the possibility that the “impossible recovery measures” of the BRB could “compromise the continuity of essential services and the execution of public policies of a social and economic nature”.
Federal Court Ban
A decision by the president of the STF responds to a request from the DF governmentwhich questioned the position of the Federal District Court against the use of properties. The order to suspend the injunction was monocratic, but will be submitted to the STF plenary between May 8th and 15th in a virtual session.
The decision to ban, taken by judge Rômulo de Araújo Mendes, responded to a request from the Public Ministry and suspended the effectiveness of provisions of the law that authorized the local government to capitalize the BRB through nine public properties, including the sale of land, the structuring of a real estate fund and the offering of the assets in a loan.
On March 16th, the to cover the hole left by Banco Master in the institution. The decision responds to a request from PSB politicians, including the president of the Brazilian Industrial Development Agency (ABDI), Ricardo Cappelli, and federal deputy Rodrigo Rollemberg (DF).
Purchase of the Master by BRB
BRB, a public bank controlled by the government of the Federal District, came on the radar of the Master case because it was the main interested party in the acquisition of the institution linked to Daniel Vorcaro and for financial operations currently under investigation by the Federal Police.
The proposal provided for the purchase of a relevant stake in the bank and was presented as a way out to avoid its bankruptcy. The deal, however, was blocked by the Central Bank in September 2025, which pointed out a lack of economic and financial viability and the risk of transferring losses to the public bank.
In addition to the attempted acquisition, the Federal Police are investigating whether BRB purchased fraudulent credit portfolios from Master, focusing on possible flaws in internal analysis, approval and governance mechanisms.
