Brazil’s central bank shuts down two lenders
Move comes amid broader clean-up of country’s weakest financial institutions
The Central Bank of Brazil (BCB) has wound down two lenders in the Simpala group.
In a statement on August 14, the BCB said the organisations had exposed their “unsecured creditors” to excessive risk and that serious rule breaches had occurred. “The declaration of extrajudicial liquidation was motivated by the compromised economic and financial situation of the institutions,” the central bank said.
Simpala Lançadora e Administradora de Consórcios was a licensed finance company while Simpala SA
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