São Paulo Ex-Council Chief Indicted Over Alleged PCC Control of Bus Firms

São Paulo's Civil Police announced on November 7 that it has concluded the Operation Vectura Corrupta investigation into organized-crime infiltration of the public transport system, formally indicting former São Paulo City Council president Milton Leite and 12 other suspects and asking a court to convert their temporary arrests into preventive detention without a time limit. The final police report alleges that the Primeiro Comando da Capital (PCC) crime group directly or indirectly controlled 12 of the 22 companies operating the city's bus system.

Leite alleged to be the hidden owner of Transwolff

Police named Leite as a central figure, saying intercepted messages, witness statements and financial traces point to him as the de facto owner of bus operator Transwolff and an active participant in company decisions and payments. Leite surrendered to police on September 18 and has been in temporary detention since; in a formal deposition on October 15 he denied any connection to the PCC and said he was not a beneficiary or hidden owner of Transwolff. Police have transferred him from the Mogi das Cruzes detention centre to a detention centre in Guarulhos.

R$40 million fuel deal and a lawyers' network moving money

The investigation documents corporate moves and money routes, including a R$40 million purchase of fuel distributor FANAL and a network of lawyers called "Sintonia dos Gravatas" (Symphony of Ties) that investigators say helped move and obscure funds. Investigators say the PCC used front men and intermediaries to hide true ownership and steer bus companies toward city public-transport contracts.

Jail privileges scandal widens the probe

The investigation also uncovered alleged jail privileges: on October 16 prosecutors searched the Mogi detention complex after an anonymous tip that Leite received special visits and other favours, and recovered R$155,000 and US$10,000 from a jailer's home; five Civil Police staff have been suspended while an internal review continues. Leite's lawyers deny he received special treatment and have sought judicial relief.

Indictment is not a conviction; prosecutors decide whether to charge

An indictment (indiciamento) by police is a formal step in Brazil's criminal procedure, not a court conviction. Prosecutors will now decide whether to file formal charges, and a judge must rule on the preventive detention request. Leite denies all the allegations. If prosecutors charge the suspects and a court accepts the case, it will proceed to trial.

(Sources: São Paulo Civil Police; UOL News; Particle News.)