MPF confirms fine reduction of R$ 10.3 billion for J&F – 08/19/2023 – Market

The MPF (Federal Public Ministry) confirmed this Friday (18) the reduction in the fine of R$ 10.3 billion defined in the leniency agreement of J&F, the holding company of the brothers Joesley and Wesley Batista, in 2017.

According to the organ, the Union will receive from the company an amount a little higher than R$ 3.5 billion.
The discount was determined after the 5th Chamber of Coordination and Review of the MPF, which approves leniency agreements, evaluated a request from J&F.

The body points out that this is not a renegotiation or a revision of the agreement, but a specific request for dispute settlement, provided for in the agreement signed by the MPF.

Also according to the agency, there was “a serious error in the formula adopted in the calculation of gross revenues, which, when assessed by technical expertise, resulted in an increase in the calculation basis of the lenient company by the approximate figure of R$ 5 billion”.

The period for paying the fine was also proportionally reduced to eight years. In 2017, the payment period was set at 25 years.

The leniency involved the companies of the J&F group that were the target of the Greenfield, Sépsis, Cui Bono and Carne Fraca operations, by the Federal Police and the MPF.

By August 16, the company had paid approximately R$608.2 million to the Federal Government.

The MPF also states that, as a result of the correct application of legal provisions, all payments related to the fine imposed in the leniency agreement will be destined exclusively to the Union.

“The other entities with a legal nature of private law that mistakenly benefited from the leniency agreement were excluded from this benefit due to the lack of legal support, as no damage suffered by the leniency company was proven”, says the statement.