Corinthians rocked by federal probe into tax debts | OneFootball

According to reporting from UOL, Augusto Melo, the recently suspended president of Corinthians, has been summoned for a second time by federal police as part of an ongoing investigation into alleged tax evasion involving the club. The inquiry, carried out jointly by the Federal Police and Federal Public Ministry, stems from unpaid taxes and fines that accumulated during Melo’s administration and ultimately became federal debt.

Corinthians addressed these outstanding amounts by arranging a payment plan with the National Treasury Prosecutor’s Office. This move could potentially pause the investigation, a standard possibility in cases related to tax infractions. Nonetheless, authorities continue to scrutinize the period of Augusto Melo's presidency.

Melo did not attend his initial scheduled police hearing. His legal representatives explained that the club’s legal department advised against it, citing the need to gather more documentation related to the Centralized Regime of Executions before rescheduling his testimony.

While exact figures related to Corinthians' debts remain confidential, investigators have categorized the club as a “large debtor.” The attention around these liabilities intensified during the first year of Melo’s leadership and caught the eye of federal authorities, prompting the formal investigation that began on April 30. In addition to this inquiry, at least two other related investigations are ongoing under judicial secrecy, all based on the same reported violation.

The legal basis for these investigations lies in articles 1 and 2 of Law No. 8.137/1990, which outline crimes against the tax order in Brazil. The Federal Public Ministry has currently set a timeline of around four months to conclude the investigation, although this may be extended as necessary, with the potential for further summonses over that period.

In response to news of the federal inquiry, the current interim Corinthians administration has acknowledged the investigation and stated that it is taking all necessary legal measures to address the matter.

Sources: UOL

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