Feb 20 • 22:26 UTC 🇧🇷 Brazil G1 (PT)

Police conduct search and seizure at the address of a Palmas City Chamber server investigated for extortion

A civil servant from the Palmas City Chamber is being investigated for extortion involving exorbitant interest rates and has faced police action including search and seizure.

A 25-year-old civil servant from the City Chamber of Palmas, Brazil, is under investigation for extortion after allegedly lending money at interest rates exceeding 100%. The police conducted a search and seizure operation at his residence to gather evidence and to implement precautionary measures to protect the alleged victim. The name of the accused has not been disclosed, hence the media could not reach the defense for comments. The City Chamber's authorities have publicly stated their disapproval of such conduct and affirmed their commitment to integrity.

The investigation began when a victim reported to the authorities that they had borrowed R$ 6,000 from the accused in May 2025, under terms that were later found to be predatory. The victim indicated that the repayment terms included over 100% interest, making the total owed amount balloon to R$ 12,000 due within the following month. This alarming discrepancy in repayment expectations raised red flags, prompting the police to act in order to protect potential future victims.

The case highlights severe concerns surrounding loan sharking in Brazil, especially among local government employees, underscoring the importance of vigilance against corruption and exploitation. The Palmas City Chamber’s swift response to this incident, coupled with law enforcement's actions, suggests a dedicated push against unethical financial practices and an intent to safeguard citizens from such predatory lending schemes.

📡 Similar Coverage