Brazil Federal Police Raid Ex-Rio Governor in $9.4B Fuel Fraud Probe
On May 15, 2026, Brazil’s Federal Police executed Operation Sem Refino, targeting former Rio de Janeiro Governor Cláudio Castro and Ricardo Magro, owner of the Refit fuel-distribution group. Supreme Court Justice Alexandre de Moraes authorized the raid under the ADPF das Favelas inquiry, ordering the freezing of approximately 52 billion reals ($9.4 billion) in assets and suspending Refit’s commercial activities. The operation involved seventeen search warrants and seven removals from public office across Rio, São Paulo, and the federal district. Magro, who has resided in Miami since 2016, was placed on Interpol’s red notice list amid allegations of money laundering and tax evasion involving over 26 billion reals in debts. The investigation also implicated Rio appeals-court judge Guaraci de Campos Vianna for allegedly issuing favorable rulings for Refit. Castro is suspected of granting illicit tax incentives to Refit during his governorship. This marks a significant strike against organized crime and corruption within Brazil’s fuel sector, with substantial political repercussions as Castro had recently stepped down to pursue a Senate seat.
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