Brazil’s bank critical of JBS

Brazil’s national bank, which holds more than 21 per cent of the shares of JBS, is not happy about the way the board of directors put the founder back in charge over the weekend.

The National Bank for Economic and Social Development (BNDES) wants the Batista family ousted from the business, but the board of directors chose Jose Batista Sobrinho to take over as chief executive officer of the company he founded.

His two sons, Wesley and Joesley, have been arrested for insider trading, apparently making about $100 million on the stock market because they knew they would strike a deal with federal prosecutors.

They have admitted bribing 1,893 politicians, mainly to obtain federal loans.

BNDES president Paulo Rabello de Castro criticized the way JBS proceeded to “hastily” summon the board meeting for a weekend, immediately after the Batista brothers were arrested.

“This meeting was held outside of a working day, covered with all the details of exceptionality,” he said in a news release Monday. 

JBS said the board acted in strict accordance to law, adding that the meeting was called on Thursday to take place on Saturday, starting at 7 p.m (Brasília time).