Brazil's Central Bank Scandal: Bribery, Bribes & Bank Collapse

0:00World headlines in two minutes or less, you're tuned in to global news today. Brazil's central bank is reeling from a scandal after federal police arrested Daniel Vercaro, the former owner of the now-liquidated Bank of Master. Vercaro faces charges of bribing two senior regulators for secret advice on regulatory matters. The officials, Paulo Sergio, Neves de Susa, and Balín Santana allegedly share tips through cell phone messages while overseeing banks to provision. The probe began with fraud and banker master's loan portfolio, but a snowball to involve public pension funds, a state-owned bank and Vercaro's. Plots to intimidate critics, including former employees and journalists. Despite the issues, the central bank liquidated the troubled lender in November after blocking a takeover bid. Reactions in Brazil have been ones of shock and dismay from former colleagues and insiders. One source called the conduct horrifying and unacceptable, though they stressed it points to individual corruption,

1:00not institutional failure. The central bank has suspended the two officials, who step down from senior roles in January. New details from court authorized messages show the regulators may have received bribes via sham consulting contracts. Salsa, a career public servant since 1998, oversaw banks during the lender's aggressive growth under multiple presidents. The banks collapse has hit hard, costing the credit guarantee fund around 40 billion reais, or about $7.7 billion, roughly A, third of its resources. Critics say the central bank acted too slowly, but officials note their internal reviews aided the police investigation. This DNN story is thanks to our sponsor details in the description. When you need a moment alone, just lay back and listen, S-O-L-I-SOLYPILLOW.COM