The rise of Brazil’s fuel mafias and their gas station money laundering machines by Dr. Robert Muggah of SWJ’s El Centro
The rise of Brazil’s fuel mafias and their gas station money laundering machines is by Dr. Robert Muggah of SWJ’s El Centro *Katherine Aguirre, senior researcher at Igarape Institute, contributed to this article
Published: April 22, 2025 1:48am EDT
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This piece provides a critical investigation into Brazil’s sophisticated criminal networks infiltrating the fuel distribution sector. Organized crime syndicates have transformed seemingly legitimate gas stations into complex money laundering operations; they have over 1,000 service stations nationwide under criminal control. These networks, including prominent groups like Primeiro Comando da Capital (PCC) and Comando Vermelho, have strategically diversified beyond traditional criminal enterprises into fuel theft, tax evasion, and large-scale financial fraud.
The economic impact is staggering. Illegal profits from gas stations reached approximately 146.8 billion reais (around $25.4 billion) across multiple sectors. Their methods range from selling adulterated fuel and creating ghost companies to exploiting tax discrepancies between states. By 2023, the PCC had reportedly extended control to nearly 1,100 gas stations and five ethanol plants, demonstrating a sophisticated approach to market infiltration.
Law enforcement and industry are working to combat these networks by expanding technological surveillance, collaborating on investigations, and supporting new legislative initiatives. The article highlights the urgent need for a comprehensive national strategy that combines advanced tracking technologies, intelligence sharing, and robust regulatory frameworks to disrupt these increasingly adaptive criminal enterprises.
