The Brazil Securities Commission (CVM) Board reviewed three proposed settlement agreements (Termos de Compromisso) at its 28 January 2025 meeting, accepting a BRL 300,000 agreement with RB Investimentos Distribuidora de Títulos e Valores Mobiliários Ltda. and three directors, and rejecting two other proposals in sanctioning proceedings. In the RB Investimentos case, the agreement provides for payments totalling BRL 300,000 (BRL 150,000 by the firm and BRL 50,000 each by Thiago Sanches, Adalbero de Araújo Cavalcanti and Marcello Peçanha Drewanz) to close an administrative proceeding before any potential sanctioning case. The proceeding concerns alleged deficiencies in internal controls reports under CVM Resolution 35 and in money laundering, terrorist financing and proliferation financing risk assessment reports under CVM Resolution 50, with the Term of Commitment Committee having recommended rejection. The Board rejected separate proposals from (i) directors of Rio Paranapanema Energia S.A. in a case alleging conflicted voting and voting guidance to approve their own accounts over three financial years, and (ii) a fund manager and two investors in a case alleging front running, where CVM’s legal office identified a legal impediment due to insufficient proposed amounts to disgorge benefits and compensate diffuse harms.
Brazil Securities Commission (CVM) 2025-01-29
Brazil Securities Commission accepts BRL 300,000 settlement with RB Investimentos and directors while rejecting two other proposed agreements
The Brazil Securities Commission (CVM) accepted a BRL 300,000 settlement with RB Investimentos and three directors to resolve an administrative proceeding related to deficiencies in internal controls and risk assessment reports. The CVM Board rejected proposals from Rio Paranapanema Energia S.A. directors over conflicted voting and from a fund manager and investors in a front-running case due to insufficient compensation proposals.