A significant political and financial inquiry is underway in São Roque, São Paulo. The city's municipal council has officially launched a Parliamentary Commission of Inquiry (CPI) to investigate the application of R$93 million from the São Roque Prev municipal pension fund into Banco Master, a financial institution that was liquidated by Brazil's Central Bank in November of the previous year.
The commission has already begun its work, receiving a substantial civil inquiry report from the Public Ministry comprising over 770 pages. Council members are now evaluating which officials and former executives will be the first to be called to testify. The investigation was triggered by the crisis and subsequent liquidation of Banco Master, whose owner, Daniel Vorcaro, was arrested, leaving many clients seeking reimbursement through the Credit Guarantee Fund (FGC).
Documents indicate that within a six-month period, São Roque Prev purchased over R$93 million in Letras Financeiras (financial letters) from Banco Master. This amount represented approximately 18% of the fund's total investment portfolio, a figure dangerously close to the 20% limit established by the National Monetary Council (CMN). The CPI will scrutinize the chronology of these investment decisions and whether they complied with the rules governing municipal social security regimes (RPPS).
A key point of contention involves allegations of document tampering. Councilwoman Dani Castro has stated that two versions of the minutes from the Investment Committee's 2024 meeting exist, with identical numbers and signatures but divergent texts. The altered section reportedly concerns the risk assessment of Banco Master, with the two versions presenting opposite conclusions. This discrepancy is a central focus of the investigation.
The scope of the CPI extends beyond the Banco Master investment. It will also examine the fund's investment in the Nest Eagle Real Estate Investment Fund (FII EAGL11) and the role of the company Crédito & Mercado Gestão de Valores Mobiliários Ltda., which was contracted to manage investments and later to implement the Pró-Gestão RPPS program. The inquiry will look into a potential conflict of interest involving this firm.
Furthermore, the commission will analyze financial movements in Authorization of Application and Redemption (APR) documents. Reports have highlighted operations where applications and redemptions occurred on the same day for the same amount, with one technical report pointing to gross movements of R$446 million in August 2024 alone. Irregularities flagged by the federal Cadprev system, under the Ministry of Social Security, will also be part of the probe.
Politically, the CPI's formation was contentious. The initiative came from the opposition, while members of the governing coalition initially opposed it. The commission's president, Mateus Taraborelli, noted that its composition followed internal regulations requiring the largest parties to be represented. The São Roque Prev institute has stated it will cooperate with the inquiry and that its president, Bruno Caparelli, will testify if summoned. The fund also emphasized that it holds over R$490 million in assets, excluding the disputed R$93 million, and awaits the recovery of the invested funds.
The Prefecture of São Roque views the CPI as a political maneuver by the opposition but has expressed confidence in the process. The administration maintains that the pension institute is independent and that the investments followed technical rules, assuring public servants that the fund's R$490 million asset base is solid and that the municipality will cover any future deficit. The next meeting of the commission is scheduled for May 14. Based on reporting from g1.