Brazilian Federal Police Investigates Alleged Tender Fraud in School Transport Contracts

Brazil’s Federal Police said it launched Operation Faixa Amarela to investigate possible bid-rigging, diversion of public funds, embezzlement and money laundering linked to municipal management in Duque de Caxias, Rio de Janeiro. The operation involved 12 search warrants, and contracts allegedly exceeded R$62 million during their first three years.

The investigation alleges coordinated conduct involving businesspeople, public employees and third parties, including possible tender overpricing, improper advantages and financial movements intended to conceal illicit proceeds. No charges, pleas, convictions or settlements were reported; the matter remains under investigation.