Banco do Brasil, the country’s largest state-run bank, has raised the alarm over a wave of false information spreading online. According to official documents, the bank asked Brazil’s solicitor general to step in and take strong legal action against social media posts that claim it could soon face sanctions from the United States.
These posts suggested that the bank might be punished because one of its clients, Supreme Court Justice Alexandre de Moraes, was recently targeted by U.S. sanctions. The bank firmly denied these claims and said they are untrue and harmful. It also warned that such rumors could cause “undesirable consequences” if not stopped quickly.
The lender added that some of the posts even came from federal lawmakers, making the matter more serious. It asked authorities to act fast to stop the spread of misinformation that could damage trust in the bank and in the country’s entire financial system.
The solicitor general responded by referring the case to federal police, asking for a criminal investigation into those spreading the false stories. Officials warned that the posts could cause panic among depositors, which might lead to a bank run and harm Brazil’s economy.
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Banco do Brasil Moves to Protect Its Reputation
Banco do Brasil also released a public statement promising to defend its name and reputation. In the note, the bank described the social media claims as “false and malicious”. It accused those behind the posts of trying to create panic and push people to fear for the safety of their deposits.
The bank stressed that it remains strong and safe. It reminded the public that under Brazilian law, spreading false or incomplete information about financial institutions is a crime. Anyone found guilty of such actions can face prison sentences of up to six years, along with fines.
The lender is particularly worried because the rumors appeared during a sensitive time for the country’s financial markets. It noted that misinformation about the stability of a bank could scare customers and investors, leading to sudden withdrawals of money. That kind of reaction, the bank explained, can destabilize not just one institution but the entire financial system.
Clients have already been reaching out to the bank for clarifications amid the wave of online claims. Banco do Brasil reassured them that its operations are normal and that it continues to handle services, including payroll operations for the Supreme Court, where Justice Alexandre de Moraes plays a key role.
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Market Pressures and U.S.-Brazil Tensions
The controversy comes at a time when ties between Brazil and the United States are already strained. Recently, U.S. President Donald Trump imposed steep tariffs on some Brazilian goods and also announced sanctions on Justice Alexandre de Moraes.
The U.S. measures included freezing assets and banning companies from doing business with sanctioned individuals. Because of the global reach of the U.S. financial system, banks outside the United States often take extra steps to avoid possible risks. That is why speculation about Banco do Brasil’s connection to the sanctions became a target for online rumors.
The sanctions on Justice de Moraes are also tied to an ongoing case involving former Brazilian president Jair Bolsonaro, who is accused of plotting to overturn his defeat in the 2022 elections.
Even though the claims about Banco do Brasil were false, they still had an effect on the stock market. Shares of Brazilian banks came under pressure, and Banco do Brasil’s stock dropped 2.2% on Monday after already facing heavy losses the week before.
Market experts say that any suggestion of instability in a major bank can easily unsettle investors. For this reason, the bank’s leadership is pushing hard to stop the spread of the fake posts before they cause deeper damage to confidence in the country’s financial sector.