By Brazil Stock Guide – BRB – Banco de Brasília S.A. said its board met late on November 18 to review developments in Operação Compliance Zero, the federal probe into the issuance and negotiation of fraudulent credit instruments involving the bank and Banco Master. In the extraordinary session, directors approved the hiring of a specialized external audit firm to investigate the transactions flagged by authorities.
Governance Response
The decision reflects BRB’s effort to regain control of the narrative after days of mounting scrutiny. While the bank has emphasized its cooperation with regulators, the creation of an independent audit underscores internal concern over the scale and nature of the exposure under investigation. During the meeting, the board ratified the 60-day suspension of CEO Paulo Henrique Costa, who stepped aside amid the probe, and appointed Celso Elói, a senior executive from Caixa Econômica Federal, as BRB’s new interim president. The board said it will continue to monitor all developments and update shareholders as the audit advances.
According to investigators, BRB transferred R$16.7 billion to Banco Master between 2024 and 2025, including R$12.2 billion concentrated in a short window and containing elements described as incompatible with normal banking practice. Under prudential rules, BRB could expose at most R$753 million to a single counterparty. Exceeding that limit by more than twenty times raised questions about the rationale behind the bank’s decisions and its willingness to continue extending liquidity to an institution already under visible financial stress.
Leadership Disclosure
The market notice was signed by Cristiane Maria Lima Bukowitz, Executive Director of People Management and acting president at the time, and Iure Cavalcante Oliveira, Head of Investor Relations. BRB reiterated that its operations remain fully functional and that all client and investor-relations channels continue operating normally.
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