Bradesco CEO Trabuco faces accusations in Brazil tax probe

SAO PAULO Brazil's federal police accused Banco Bradesco SA BBDC4.SA chief govt Officer Luiz Carlos Trabuco and two senior executives on Tuesday of plotting to avoid a 3 billion-actual ($828 million) tax excellent, the modern day episode of alleged white-collar crime in Latin the usa's biggest economy.

The workplace of Brazil's Prosecutor-fashionable said that a police report searching for formal expenses against Trabuco and the executives become received in advance on Tuesday. A supply briefed on the matter stated leader monetary Officer Luiz Carlos Angelotti and Senior vp Domingos de Abreu have been also named inside the document.

In a statement, Bradesco vowed to fight the accusations against Trabuco in courtroom, announcing the bank have been acquitted in previous rulings. Trabuco did now not participate in any meetings wherein ways to take away the nice that Brazil's Tax sales provider had imposed on the financial institution were mentioned.

The police report "took Bradesco's management by way of marvel," the statement said. The three executives face accusations of have an effect on peddling, corruption, racketeering and money laundering, the document stated, without specifying which carried out to Trabuco.

The accusations against Trabuco, one in all Brazil's most influential strength agents, came within the midst of a sweeping corruption scandal at nation firms that has rattled Brazil's political establishment and multiplied a Senate decision to position President Dilma Rousseff on impeachment trial.

Bradesco desired shares BBDC4.SA slumped on the information, shedding five percentage to 22.80 reais, the steepest decline considering that mid-March. voting stocks (BBDC3.SA) fell three.7 percent, while Bradesco's American depositary receipts (BBD.N) fell five.6 percentage to $6.26 in the big apple.

The police investigated negotiations between Bradesco and authorities tax auditors over the elimination of a three billion-real ($828 million) high-quality that the usa's Tax revenue carrier had imposed on the financial institution. The incident is part of a broader probe of fraud on the Finance Ministry's tax appeals board unveiled in March 2015.