Six officials from Brazil’s social security agency have been suspended, and assets exceeding 1 billion reais ($175.86 million) have been confiscated as part of a significant federal investigation into unauthorized deductions from benefits, according to statements from the police and audit office on Wednesday.
The head of the social security agency INSS, Alessandro Stefanutto, was removed from his position by a court order as part of the inquiry, as reported by two sources familiar with the situation. Locations associated with Stefanutto were also subjected to a search and seizure warrant, as one source disclosed, requesting anonymity due to the sensitive nature of the information.
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The INSS has not yet provided a response to a request for comment. In a joint announcement, the Federal Police and Brazil’s federal audit office (CGU) indicated that authorities were executing 211 search and seizure warrants and six temporary arrest orders across various states. Investigators identified irregularities related to the deduction of membership fees from social security benefits, mainly pensions and retirement payments managed by INSS.
The total deductions amounted to 6.3 billion reais from 2019 to 2024, as stated in the announcement. Those being investigated may face charges such as active and passive corruption, breach of official secrecy, document forgery, criminal conspiracy, and money laundering.
