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Brazil Supreme Court Crisis Deepens Over Bank Probe

Brazil Supreme Court justices face a growing dispute over the Banco Master investigation

Brazil’s Supreme Court is facing a growing institutional crisis as two of its prominent justices seek action against each other over the investigation into collapsed lender Banco Master.

Justice Alexandre de Moraes, 57, and Justice André Mendonça, 53, have become central figures in the dispute. Their conflict comes as Brazil prepares for October elections and investigators examine alleged financial wrongdoing linked to former Banco Master owner Daniel Vorcaro.

The dispute has now moved inside the Supreme Court itself.

Justices seek sanctions against each other

Mendonça reportedly wants de Moraes suspended while authorities consider whether he should face an investigation over possible graft allegations.

De Moraes, meanwhile, has asked Chief Justice Luiz Edson Fachin to investigate Mendonça’s conduct. He argues that his colleague improperly questioned Vorcaro in a proceeding involving another Supreme Court justice.

The two judges sit beside each other on the court’s bench. Their increasingly public disagreement has added another layer to an already sensitive investigation.

Mendonça recently unsealed part of a federal police investigation. The documents included intercepted messages in which Vorcaro appeared to seek advice from de Moraes on several occasions.

The revelations have raised questions about de Moraes’ connection to Banco Master. Federal police also found that his wife’s law firm had a 130 million reais ($25 million) contract to provide legal services to the bank.

Those reports prompted calls from politicians, commentators and legal experts for de Moraes to step down.

Vorcaro messages intensify scrutiny

Messages attributed to Vorcaro showed the former banker appealing directly to de Moraes for help.

In one message, Vorcaro expressed deep gratitude toward the justice. In another, he asked for assistance in blocking measures against Banco Master.

The revelations have also drawn political attention.

Presidential candidate Flávio Bolsonaro, who has himself been linked to the Banco Master controversy over funding connected to a film about his father, former President Jair Bolsonaro, called on de Moraes to leave the Supreme Court.

De Moraes became one of Brazil’s most prominent judges after overseeing the case that resulted in Bolsonaro’s imprisonment over an attempted coup.

Mendonça also faces questions

The pressure on de Moraes intensified just before Mendonça himself came under scrutiny.

Brazilian media reported that Mendonça had privately met Vorcaro last year. The justice said he listened to the banker and described the meeting as similar to conversations other Supreme Court members had held about the same issue.

Mendonça later confirmed another meeting with Vorcaro. Earlier this month, he questioned the jailed banker without authorization from the full court.

Mendonça said he acted after Vorcaro claimed police had mistreated him. Brazil’s attorney general has already rejected that accusation.

Chief justice seeks explanations

De Moraes responded by asking Fachin to investigate Mendonça’s conduct. He described the proceeding as politically motivated and argued that the questioning could constitute grounds for impeachment.

Brazil’s Senate has the constitutional authority to impeach Supreme Court justices. It has already received dozens of impeachment requests involving de Moraes, while far fewer have targeted Mendonça.

On Friday, Brazilian media reported that Mendonça had also asked Fachin to suspend de Moraes.

Fachin said he would seek explanations from both justices, as well as Attorney General Paulo Gonet and Federal Police Director Andrei Rodrigues, whose names also appear in the investigation.

Speaking at Brazil’s presidential palace alongside President Luiz Inácio Lula da Silva, Fachin said the country’s institutions must be protected during periods of intense tension.

The two justices did not speak to each other during Supreme Court sessions on Wednesday and Thursday. They are due to sit together again next week, as pressure around the Banco Master investigation continues.

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