The Brazil Securities Commission (CVM) concluded an administrative sanctioning proceeding against Felipe Toscano and Alexandre Melo, finding Toscano liable for operating as a securities portfolio manager without authorization and convicting Toscano and Melo for a fraudulent operation in the securities market. The CVM imposed a 78-month prohibition on Toscano from acting, directly or indirectly, in any type of operation in the securities market, and levied fines of BRL 19,500,000 on Toscano and BRL 6,500,000 on Melo. The case was opened by the Sanctioning Proceedings Superintendence (SPS) and addressed alleged breaches of Article 3 of CVM Instruction 306 and Article 2 of CVM Instruction 558, in conjunction with Article 23 of Law 6,385, as well as CVM Instruction 08 (Item I and Item II(c)) regarding the fraudulent operation. The decision was unanimous and followed the vote of Director Marina Copola; the session was chaired by Director João Accioly, with Luis Felipe Lobianco acting as substitute director to meet quorum requirements. The sanctioned parties may appeal to the National Financial System Appeals Council with suspensive effect.
Brazil Securities Commission (CVM) 2025-10-14
Brazil Securities Commission bans Felipe Toscano for 78 months and fines Toscano and Alexandre Melo BRL 19.5 million and BRL 6.5 million for fraudulent securities market operation
The Brazil Securities Commission (CVM) concluded an enforcement action against Felipe Toscano and Alexandre Melo, finding Toscano liable for unauthorized securities portfolio management and both guilty of a fraudulent securities operation. Toscano received a 78-month market prohibition and a BRL 19.5 million fine, while Melo was fined BRL 6.5 million. The unanimous decision, based on breaches of CVM Instructions and Law 6,385, allows for appeal to the National Financial System Appeals Council.