Dino orders the Union to review rule allowing entanglement of investment funds
Minister cited the Banco Master scheme, which used a labyrinth to hide asset fraud. Read on Gazeta do Povo.
TL;DR
- Justice Flávio Dino mandated the Union to review CVM rules that may allow for opaque financial structures.
- The decision was influenced by Transparência Internacional and a working group's findings on the Banco Master case.
- A 2022 CVM resolution is cited for potentially enabling successive investment structures without quantitative limits.
- Dino expressed concern that these structures can compromise financial intelligence alerts and hinder economic flow reconstruction.
- The Banco Master scheme, involving complex fund chains and alleged asset overvaluation, is referenced as an example of problematic entanglement.
- The article notes that the specific operations in the Master case may not have strictly depended on the 2022 rule.