Late this afternoon, the minister president of the Federal Court of Auditors (TCU) decided to halt the request for technical inspection at the Central Bank.
Before making a decision, minister Vital do Rêgo wants to meet with rapporteur Jonathan de Jesus, with the Minister of Finance, Fernando Haddad, and with the president of the Central Bank (BC), Gabriel Galípolo.
The behind-the-scenes report is from Grupo Bandeirantes reporter, Túlio Amâncio, who also said that the meeting should take place next week, with the return from recess.
The Central Bank presented, last Tuesday (06), an appeal against the decision of the Federal Court of Auditors that authorized a technical inspection of documents relating to the liquidation process of Banco Master.
The questioning of the monetary authority occurs after minister Jhonatan de Jesus, rapporteur of the case at the Court, ordered Court technicians to carry out an internal audit within the Central Bank itself.
The legal impasse began when the minister requested detailed information about the liquidation of Banco Master, classifying the BC’s action as an “extreme measure”. The determination allowed TCU auditors direct access to confidential documents in the process to determine the regularity of the regulatory body’s conduct.
The major concern in the financial system is the possibility that the Central Bank’s decision to liquidate the Master will be annulled.
In an interview with Tarde Bandnews, with Vitor Brown, the former president of the Central Bank, Armínio Fraga, ruled out the possibility of reversing the Banco Master liquidation process.
“I argue that this issue is a matter that is completely within the sphere of the Central Bank itself. It does not mean that the Central Bank cannot be analyzed, but not, in this case by the TCU, nor by the Supreme Court.
From a practical point of view, reversal and suspension of liquidation also seem impossible to me. I am hopeful that this matter will have a common-sense ending.”
This Wednesday (07), the Mixed Parliamentary Front to Support the National Development System (FPSNF), a collegiate body of the National Congress that works to monitor public policies aimed at strengthening the National Development System, spoke out in defense of the full, autonomous and technical exercise of the legal powers of the Central Bank.
The collegiate also highlighted that decisions within the scope of banking supervision and resolution are part of the constitutional and legal powers of the Central Bank.
Armínio Fraga assumed the same tone and defended the performance of the institution he presided over
“From the point of view of attitudes, I would say that the BC is doing its job. These situations are always difficult, but this was not done overnight. I have also argued that the question might be different, is it why didn’t it happen before?
Threats to the Central Bank’s ability to act when necessary are serious, very serious and this is something that also needs to be pacified.”
