Banco Master Owner Detained by Brazilian Police in Fraud Investigation

RIO DE JANEIRO, March 4, 2026 – Daniel Vorcaro, owner of Brazilian lender Banco Master, was detained by federal police on Wednesday as part of an ongoing investigation into the bank, according to a person familiar with the matter Reuters.

Previous Arrest and Monitoring

This is not the first time Vorcaro has been arrested in connection with alleged wrongdoing at Banco Master. He was previously arrested in November 2025 as part of a probe into the alleged issuance of fraudulent credit securities by the institution. Though, he was later released and ordered to wear an electronic ankle monitor.

Investigation Details

Brazilian federal police announced on Wednesday that they had launched raids investigating potential crimes including threats, corruption, money laundering and invasion of computer systems allegedly carried out by a criminal organization. While the police statement did not specifically name Vorcaro, the detention confirms his involvement in the latest phase of the investigation.

Background on Daniel Vorcaro and Banco Master

Daniel Bueno Vorcaro, born October 6, 1983, in Belo Horizonte, Brazil, is a businessman with interests in the financial, real estate, healthcare, and retail sectors Wikipedia. He gained prominence as the majority shareholder and president of Banco Master (formerly Banco Máxima), overseeing its expansion and investment diversification.

Vorcaro’s investments also include companies such as Biomm and Veste S.A. Estilo, and he was part of the investor group for Clube Atlético Mineiro’s Sociedade Anônima do Futebol. He also has a significant presence in real estate ventures through Viking Participações Wikipedia.

Financial Impact and Liquidation

Banco Master was placed into extrajudicial liquidation in November 2025 following the investigations into the alleged financial scheme. This resulted in an estimated loss of R$41 billion to the Credit Guarantee Fund (FGC), the highest projected loss in the fund’s history Wikipedia.

Supreme Court and Central Bank Involvement

Brazil’s Supreme Court Justice Edson Fachin stepped aside from the Banco Master case in February 2026 due to reported links between the bank’s controlling shareholder, Daniel Vorcaro, and potential payments received by the Justice Reuters.

In February 2026, Brazil’s audit court, the TCU, found no fault with the central bank in its handling of Banco Master’s wind-down Reuters.

(Reporting by Rodrigo Viga Gaier; Writing by Gabriel Araujo; Editing by Tomasz Janowski)