Federal Police Target Former Employee in Rio Raid
Brazilian police raided the property of a former iFood employee suspected of downloading confidential business records before moving to rival delivery platform 99Food, according to lead investigator Angelo Lages. The search marks a major escalation in an ongoing trade secret investigation within Brazil’s twenty-billion-dollar food delivery sector, which has seen intensifying competition following the market entry of Chinese-backed platforms.
The raid, executed on a Wednesday in Rio de Janeiro, targeted a former strategic sales manager who previously held access to sensitive customer information, sales volumes, and user profiles at iFood, according to investigator Angelo Lages in a statement reported by Reuters. “The goal of the search was to secure electronic devices so that we can carry out a forensic analysis and clarify what happened to the data,” Lages stated.
Prosus-Backed iFood Faces Pressure From Foreign Entrants
The investigation unfolds as foreign-backed competitors challenge established market shares in Brazil. iFood, owned by Dutch investment firm Prosus, controls roughly 80% of the market, which processed about $20 billion in total orders last year according to the Brazilian bars and restaurants association Abrasel. Market dynamics shifted significantly following the entry of platforms like Keeta, owned by Meituan, and 99Food, controlled by ride-hailing firm DiDi Global.
Corporate Defenses and Workforce Fallout
In response to the raid, 99Food stated that it takes such matters seriously, does not tolerate the use of illegally obtained data, and confirmed that the targeted individual is no longer part of its workforce. Meanwhile, iFood reported that the police action stemmed from a complaint filed by the company concerning the alleged theft of strategic business intelligence. The company added that it is pursuing additional legal steps to protect its data and commercial partners.
Internal Audits Trigger Criminal and Antitrust Inquiries
According to investigator Lages, the former employee left iFood in 2025 after notifying the company of an impending move to 99Food. A subsequent internal audit at iFood revealed that strategic files had been downloaded shortly before the departure. When questioned by authorities, the former employee stated they no longer work for 99Food and currently operate as an independent consultant. Investigators are examining whether other individuals or corporate entities accessed the downloaded files.
The criminal inquiry runs parallel to active competition disputes before Brazil’s antitrust authority, Cade. Keeta has previously accused 99Food of deploying exclusivity clauses that restrict restaurants from operating across multiple delivery apps simultaneously. Separately, iFood petitioned Cade earlier this year to review the rapid expansion strategies of both Keeta and 99Food, alleging that the newer entrants rely on heavy subsidies and sustained financial losses to capture market share.
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