Moraes threatens Brazilian banks with punishment if they follow US orders

Minister asserts that Brazilian law prohibits immediate execution of foreign orders, and hopes for the repeal of the Magnitsky Law against him. (Photo: Antônio Augusto/STF) Justice Minister Alexandre de Moraes, of the Supreme Federal Court (STF), stated on Wednesday (20) that Brazilian financial institutions may face penalties from the Judiciary if they comply with US orders to freeze assets in the country. The statement came amid the application of the Magnitsky Law to himself and the decision of his colleague Flávio Dino, who ruled this week that decisions from other countries cannot affect Brazilian companies and citizens. Moraes was added at the end of July to the list of individuals sanctioned by the White House, on the same day President Donald Trump imposed a 50% tariff on Brazilian products. The Magnitsky Law allows the freezing of assets and financial restrictions in the United States against foreigners accused of human rights abuses. ‘Brazilian courts can penalize national financial institutions that block or confiscate domestic assets in response to North American orders,’ Moraes told Reuters. SEE ALSO: US may sanction more officials after Moraes and Dino defy Magnitsky Law Moraes emphasized that Brazilian law does not authorize banks to automatically enforce foreign Courts’ decisions. He also stated that he took caution regarding the American government’s decision. ‘Legal challenge is possible, and I have not found a lawyer or jurist, in the United States or in Brazil, who doubts that courts would overturn it. But, at this moment, I chose to wait. That’s my choice. It’s a diplomatic matter for the country,’ he said. The minister believes that the sanctions will be reversed through diplomatic channels but does not rule out a potential legal battle. He mentioned that accurate information is being provided to North American authorities to overturn the decision. ‘Once the correct information is conveyed, as it is currently being done, and reaches the American authorities in documented form, I believe that there will be no need to resort to judicial action to overturn it. I believe that the US Executive, the president himself, will revoke them,’ he stated. According to Moraes, there was resistance within the American government to the adoption of the measures, especially in the State and Treasury Departments. Nevertheless, the White House decided to proceed with the inclusion of the minister on the sanctioned list, justifying the decision with accusations of ‘serious human rights abuses’. In a statement sent to Reuters, a spokesperson from the US Treasury reacted critically, stating that ‘instead of inventing fictions, Moraes should stop carrying out arbitrary detentions and politicized processes’.