Brazil

New Documents

FATF Publishes Mutual Evaluation Report on AML/CTF Measures of Brazil

The Financial Action Task Force and its Latin America regional body published a report on the anti-money laundering and counterterrorist financing regime of Brazil, finding that the jurisdiction needs to strengthen prosecution of money laundering and improve cooperation between certain authorities.

December 22, 2023

OECD Urges Brazil to Increase Anti-Foreign Bribery Efforts

The Organisation for Economic Co-operation and Development issued its latest report on Brazil’s progress in implementing and enforcing of the Convention on Combating Bribery of Foreign Public Officials in International Business Transaction.

October 20, 2023

Brazilian Federal Police Probe Embezzlement of Public Funds (in Portuguese)

May 1, 2023

Transparency International Report Outlines Setbacks in Brazilian Anti-Corruption, AML Efforts

December 14, 2020

Brazilian Police Seize R$230 Million in Drug Proceeds (in Portuguese)

September 16, 2020

News

Weekly Roundup: Russia Holds Sway in FATF, Wirecard Fugitive Tied to Espionage, and More

Weekly Roundup: Russia Holds Sway in FATF, Wirecard Fugitive Tied to Espionage, and More

April 5, 2024

Weekly Roundup: Fintrac Investigates ‘Cyber Event,’ US Officials Warn Austrian Bank, and More

Brazilian ex-president’s son charged with money laundering, lawsuit against Silvergate Bank clears hurdle, and more, in the weekly roundup

March 22, 2024

Midweek Roundup: FinCEN Pitches Real Estate Rule, Treasury Updates Money Laundering Assessment, and More

February 7, 2024

Midweek Roundup: Chevron Doctrine in Peril, Criminals Turn Towards Tether, and More

January 17, 2024

Weekly Roundup: New York Yanks BitLicense, Tornado Cash Still in Business, and More

January 12, 2024

Enforcement Actions

0 Items Found

Key Documents

Brazil Revamps AML Law

July 9, 2012

Brazil Mandates Reporting of Terrorist Financing (in Portuguese)

June 9, 2003

Brazil Targets Money Laundering, Terrorism Financing

March 3, 1998

President of Brazil Approves Bylaws of Council for Financial Control

October 8, 1998

Brazil Creates Exceptions to Financial Institutions' Duty of Confidentiality

January 10, 2001

Brazil Establishes Cash Reporting Threshold

June 11, 2003

Brazil Mandates Reporting Procedures for Cash Transfers by Non-Financial Legal Entities

November 19, 2001

Important Facts

The U.S. State Department identifies Brazil as a major money laundering jurisdiction. It is a major drug-transit country, as well as one of the ten largest economies in the world. Money laundering in Brazil is primarily related to transnational criminal activities, in particular drug trafficking, corruption, organized crime, gambling and trade in various types of contraband. Illicit networks in the Tri-Border Area which Brazil shares with Paraguay and Argentina provide financial support to Hezbollah, a U.S. Department of State-designated Foreign Terrorist Organization and a U.S. Department of the Treasury Specially Designated Global Terrorist. Brazil is also one of the world’s largest drug consumer countries. Money laundering methods include the use of banks, real estate, and financial asset markets; remittance networks; shell companies; phantom accounts; illegal gaming; informal financial networks; and the sale of cars, cattle, racehorses, artwork, and other luxury goods. In addition, criminals use foreign tax havens to launder illicit gains. Drug trafficking organizations are tied to black market money exchange operators. In large urban areas, laundering techniques often involve foreign bank accounts, shell companies, trade-based money laundering and financial assets. In contrast, in rural areas, the use of promissory notes and factoring operations are more common. Brazil maintains comprehensive know your customer and suspicious transaction report regulations.

-Source: 2021 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 Methodology

Technical	Effectiveness
Compliant : 10	High : 0
Largely Compliant : 29	Substantial : 2
Partially Compliant : 11	Moderate : 9
Non-Compliant : 0	Low : 0

BASEL i

Rank : 78/141

Score : 5.02/10

TRANSPARENCY INTERNATIONAL i

Rank : 94/179

Score : 38/100

Tax Justice Network i

Rank : 73/133

Score : 52/100