RIO DE JANEIRO – Brazil’s Supreme Court is facing an extraordinary internal breakdown as the country heads toward its October presidential election. Hearings have been called off, justices have challenged each other’s rulings, and allegations involving corruption, political favoritism and police interference have intensified around several members of the court.
The dispute has deepened the perception that the justices are divided along Brazil’s sharply polarized political lines. Incumbent President Luiz Inácio Lula da Silva is expected to confront Sen. Flávio Bolsonaro, the son of former President Jair Bolsonaro, in October’s election—another potentially tight contest after the narrow race four years ago.
On Tuesday, the court is scheduled to consider whether one of its justices should face a corruption investigation.
Here is a look at the dispute and its wider political stakes.
What triggered the Supreme Court turmoil
The turmoil is rooted in the collapse of Banco Master, a mid-sized financial institution with assets estimated at as much as $16 billion. Authorities shut down the bank last November after an extensive investigation uncovered an alleged fraud operation involving billions of reais. The probe has drawn in prominent politicians as well as figures connected to the judiciary.
Justice Andre Mendonca, who was appointed by former President Jair Bolsonaro, was overseeing the case at the Supreme Court.
Daniel Vorcaro, Banco Master’s former chief executive, was arrested earlier this year. Investigators say he maintained business ties with several influential politicians, including Sen. Bolsonaro. At the same time, Justice Alexandre de Moraes—one of Mendonca’s rivals—gave Vorcaro legal advice, while Moraes’ wife held a 130 million reais ($23 million) contract to provide legal services to the bank, according to documents from the continuing investigation.
The investigation into Flávio Bolsonaro’s dealings with Vorcaro, including the banker’s reported $12 million payment for a film about his father’s life, has moved considerably more slowly. The senator has acknowledged receiving the money but rejects any suggestion of misconduct.
Several members of Brazil’s highest court have accused Mendonca of releasing selected portions of the Banco Master case while delaying material involving Sen. Bolsonaro. They contend the timing could be intended to influence the approaching election.
Mendonca has rejected claims that he is acting with political bias.
Brazilian media reports say Mendonca is seeking Moraes’ suspension while the court determines whether he should be investigated over alleged graft. Moraes, in turn, has asked the court to investigate Mendonca and could seek his impeachment by the Senate, arguing that the inquiry into him was launched without proper authorization.
Why the dispute matters politically
The next president of Brazil is expected to appoint at least four Supreme Court justices, each of whom can remain in office until reaching age 75. Senate candidates aligned with Flávio Bolsonaro have pledged to pursue the impeachment of some members of the court, while allies of Lula are weighing proposals to impose term limits.
Moraes remains a celebrated figure among many Lula supporters because he supervised the case that resulted in former President Bolsonaro’s conviction for attempting a coup after losing the 2022 election.
Ahead of the 2022 vote, de Moraes used his double role as a high court judge and head of Brazil’s electoral court to fight disinformation and protect the integrity of the electoral process as Bolsonaro cast unfounded doubts on Brazil’s electronic voting system.
De Moraes’ demise, analysts say, could embolden the Bolsonaros to once again question results if they lose. A Bolsonaro appointee, Justice Kassio Nunes Marques, currently chairs Brazil’s top electoral court.
At a rally that drew nearly 30,000 people in Sao Paulo for Brazil’s Independence Day on Sept. 7, Sen. Bolsonaro directly linked Lula to de Moraes. “Whoever votes for Lula votes for Alexandre de Moraes,” Sen. Bolsonaro said, vowing to reshape the court if elected.
“Because it’s an extremely polarized campaign, all that is negative for de Moraes is, immediately, positive for the Bolsonaro family,” said independent political consultant Thomas Traumann, noting that the crisis at the Supreme Court has become a central issue in the presidential campaign.
What the next steps in the crisis are
When the court meets Tuesday, it is expected to discuss whether de Moraes should be investigated.
Chief Justice Luiz Edson Fachin is trying to turn down the political heat and has removed Mendonca from overseeing the Banco Master investigations. Fachin also ordered the unsealing of all documents related to the Banco Master case at the Supreme Court, which were made available on Friday.
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