CVM Launches Three-Week Review as TCU Finalizes Report on Banco Master Case

Overview

• The securities regulator approved a task force that starts on February 9 to consolidate records on Master, Reag and related entities, with a report due in up to three weeks.
• The TCU’s technical team completed its inspection of Central Bank files on the Master liquidation and will forward the final report to relator minister Jhonatan de Jesus in the coming weeks.
• The deposit insurance fund FGC says it has paid R$36 billion to Master creditors, or 89% of the expected total, and estimates R$6.3 billion in additional guarantees tied to Will Bank.
• An internal CVM tally presented to the new task force lists at least 126 related processes since 2017, many still unresolved, spanning Master, Reag and Trustee.
• Under Central Bank direction, Banco de Brasília executives presented a recapitalization plan after roughly R$5 billion in losses from purchasing Master credit portfolios.