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Brazil central bank liquidates REAG for 'serious rule violations'

BY Reuters | ECONOMIC | 01/15/26 06:59 AM EST

BRASILIA/SAO PAULO, Jan 15 (Reuters) - Brazil's central bank ordered on Thursday the liquidation of brokerage REAG, currently known as CBSF, according to a document ?signed by Governor Gabriel Galipolo, in the latest ?fallout from the collapse of mid-sized lender ?Banco Master.

The move "was prompted by ?serious violations ?of the rules governing the activities of institutions that ?are part of ?the national financial system", the central bank said in a statement.

Brazil's federal ?police on Wednesday ?added ?REAG founder Joao Carlos Mansur to its list of targets in an investigation ?into alleged fraud at Banco Master, which was placed into liquidation in November.

REAG was allegedly involved in fraudulent fund transfers identified by the central bank in ?connection ?with Master's collapse.

The company last year had also been targeted by search ?warrants in a separate police crackdown on multibillion-dollar money laundering and fraud schemes linked to organized crime in the fuel sector.

According to the central bank, REAG/CBSF represents less than ?0.001% of the total adjusted assets of Brazil's financial system.

(Reporting by Marcela Ayres, Bernardo Caram and Gabriel ?Araujo,Editing by Tomasz Janowski and Ed Osmond)

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