Tax fraud and money laundering of R$ 108m in scrap sector: operation executes warrants in 4 states
The Civil Police of the Federal District launched an operation against a group under investigation for tax evasion and money laundering in the scrap sector. More than R$ 108 million were moved between 2020 and 2024.
Federal District Civil Police operation targets scrap scheme with R$ 108m in suspicious transactions
The Civil Police of the Federal District launched an operation on the morning of Thursday (10) against a criminal group under investigation for tax evasion and money laundering in the scrap sector. According to cnnbrasil.com.br, more than R$ 108 million is believed to have been moved by the group over four years.
The action is conducted by the DOT (Delegation for Repression of Crimes against the Tax System) and executes 11 search and seizure warrants in the states of Minas Gerais, Bahia, Espírito Santo and São Paulo.
The court also ordered the seizure of assets, rights and funds of up to R$ 56 million, with freezes at financial institutions and investments. Among the assets affected are an aircraft valued at approximately R$ 8 million, six luxury vehicles and a property. The measure aims to safeguard assets related to the investigation and ensure eventual restitution to the public treasury.
The targets face charges of criminal organisation, money laundering and crimes against the tax system. Combined sentences could reach 23 years imprisonment.
How the scheme was set up
Investigations began from a tax assessment involving a shell company in São Paulo, identified as the recipient of invoices issued by a fictitious company in the Federal District.
Fiscal and financial analysis pointed to evidence of a corporate structure created to give an appearance of regularity to operations, generate fraudulent tax credits and move funds between individuals and legal entities linked to the group.
The fictitious company in the Federal District was established in July 2020 and issued 49 invoices, totalling more than R$ 7 million destined for the São Paulo company in less than 20 days. Despite the volume of operations, the alleged supplier had no bank account. Its formal representative also did not record financial transactions with the invoice recipient or with other individuals under investigation. The company was later cancelled for non-existence of fact.
Flow of resources and dispersal of money
Between July 2020 and July 2024, the São Paulo shell company received more than R$ 108 million and transferred R$ 107 million to third parties. Investigators detected million-pound transfers to formally distinct companies, some linked to the same partners and with characteristics incompatible with the volume of money moved.
Among the elements found are coincidences of addresses, telephone numbers and e-mail addresses, absence of registered employees and apparently reduced corporate structures.
The investigation is examining whether the network of legal entities was used to disperse resources, make it difficult to identify final beneficiaries and give an appearance of legitimacy to funds originating from tax fraud.
Financial transactions involving individuals linked to those responsible for the investigated companies were also identified. Police pointed to the use of holding companies, vehicle rental companies, women's clothing sales companies and other legal entities in the ownership and circulation of assets — structures that, according to the investigation, were used to conceal or disguise the origin of the funds.
If the actions of those under investigation are proven, they could face charges of criminal organisation, crimes against the tax system, money laundering and ideological falsehood.
Source: Google News BR — Crime