The Supreme Federal Court ordered the blocking of 119 million reais against Valdemar Costa Neto, leader of Brazil's main far-right organization, the Liberal Party. The measure was taken following a request from the Federal Police, which identified parliamentary amendments that were allegedly fraudulently forwarded and diverted.
Investigation and Accusations
The police investigation indicates that Valdemar Costa Neto is suspected of benefiting from these diversions of public funds originating from parliamentary amendments, in addition to having orchestrated this clandestine scheme even without holding a parliamentary mandate. Parliamentary amendments represent public budget resources allocated by deputies and senators for their electoral bases, aiming to finance projects and works.
Judicial Determinations
Judge Flávio Dino, responsible for the decision, also ordered the immediate suspension of 21 suspect amendments, regardless of the payment stage. This action aims to safeguard public assets against the continuation of actions considered illegitimate by the police investigation.
Details of the Blockade
The amount of Valdemar's assets frozen by the court was calculated based on amendments destined for municipalities located in states such as São Paulo, Bahia, and Paraná, with the goal of ensuring full reimbursement of the damages caused to the treasury. A Federal Police report, which underpinned Flávio Dino's decision, revealed that Valdemar used Chamber of Deputies servers to execute falsely registered nominations.
Fraud Mechanism
The magistrate described that the forwarding process directed these amendments, falsely allocating federal deputies as 'requesters' of the nominations, to give an appearance of legality to the procedures carried out by a non-parliamentary individual. Parliamentarians were fictitiously inserted as 'requesters' to hide the true interested party, circumventing the control mechanisms established by the Brazilian Supreme Court for the Union budget.
Legal Allegations and Defense
The Federal Police alleges that such actions constitute the crime of embezzlement, given that public servants applied resources outside the public interest to favor a third party who is not formally part of the active staff of the National Congress. Dino's decision also requires the Chamber of Deputies to present documents detailing the internal processing of the amendments within ten days, allowing the Judiciary to reconstruct the administrative flow used by the group to carry out the investigated financial transfers.
Reactions and Political Context
Through his legal representatives, Valdemar expressed surprise and concern over the decision, arguing that he did not obtain personal benefit and that the diversion of resources has not been proven. He indicated that the determination is based on 'fragile premises, subjective inferences, and an undue criminalization of political-party activity.' Valdemar defended that it is inherent and legitimate in the democratic system for a party president to dialogue with parliamentarians, defend programmatic agendas, articulate regional interests, and influence his caucus, stating that none of this is criminal.
This outcome from the Brazilian Supreme Court occurs during a sensitive period of Flávio Bolsonaro's pre-campaign, as Valdemar has played a role in pacifying tensions between the senator and his mother-in-law, Michelle Bolsonaro. Meanwhile, on social media, Flávio Bolsonaro supported Valdemar, defending that it is 'natural' for the PL president to exert political influence over the party's deputies, and accused the Federal Police of political 'persecution,' writing that it is 'lamentable to see the PF acting selectively to constrain a political opponent of the current Government.'