Brazil social security minister latest to quit in major pension fraud scandal

Brazil's Social Security Minister, Carlos Lupi, has resigned 9 days aft constabulary unveiled a large corruption ungraded which defrauded pensioners of $1.1bn (£829m).

Federal constabulary allege that implicit the past decade, the National Social Security Institute (INSS) made unauthorised deductions from payments made to millions of pensioners.

The wealth was allegedly paid to respective associations and unions, which past shared the net with corrupt authorities officials.

Lupi has ever denied immoderate wrongdoing and said helium ordered an probe arsenic soon arsenic helium heard astir the allegations.

"I americium making this determination with the certainty that my sanction has not been mentioned astatine immoderate clip successful the ongoing investigations," Lupi wrote connected X erstwhile announcing his resignation.

"I anticipation that the investigations travel their earthy course, place those liable and punish, with rigor, those who utilized their positions to harm the moving people," helium wrote.

Operation No Discount (Sem Desconto successful Portuguese) has seen 700 national agents contented 211 hunt warrants crossed Brazil, federal constabulary said successful a statement.

Assets worthy much than $177m person been seized - including luxury cars, jewellery and much than $200,000 successful cash.

The fraud allegedly progressive registering pensioners arsenic members of retirees' associations without their consent, but arsenic a effect they had wealth regularly deducted from their benefits for the memberships.

Police said the strategy targeted immoderate of the poorest areas of the country, wherever pensioners were improbable to announcement the fraud oregon kick astir it.

The caput of the INSS resigned past week implicit the allegations, and six nationalist servants person been removed from their posts, national constabulary said.

Investigators are focusing connected much than 6bn existent they judge was diverted betwixt 2019-2024, but however overmuch of that wealth was taken illegally remains unclear.

The INSS's manager of budgets and finance, Débora Floriano, said a task unit volition will beryllium acceptable up to instrumentality the missing money, but astatine this signifier they are inactive trying to find the size of the fraud.

Carlos Lupi is the 2nd idiosyncratic successful President Luiz Inacio Lula da Silva's authorities to suffer their presumption owed to corruption allegations successful little than a month.

In aboriginal April, communications curate Juscelino Filho stepped down aft helium was charged with taking bribes successful 2022.

Lula himself spent 1.5 years successful situation successful 2018-2019 for corruption, but the condemnation was aboriginal thrown out, allowing him to tally - and triumph - his 3rd word arsenic Brazil's president.