BM&FBovespa Ordered to Pay $4.62 Billion by Brazil Low Court

BM&FBovespa SA (BVMF3), Brazil’s biggest securities exchange, said a local lower court ordered it to pay 8.42 billion reais ($4.62 billion) in a civil case related to central bank futures trading around the time of the 1999 currency devaluation.

The exchange said it’s being accused of causing losses for the public coffers, according to a regulatory filing late yesterday. The Sao Paulo-based company denied wrongdoing and said it will appeal the decision.

BM&FBovespa said it doesn’t plan to set aside money as provision for the case because its attorneys assign a low probability that the unfavorable ruling will be upheld by higher courts.

The exchange said it’s being accused of administrative irregularities after the central bank traded currency futures contracts on the BM&FBovespa to prevent the real from devaluing in January 1999.

The ruling refers to multiple lawsuits brought by Brazilian citizens, the exchange said today.

To contact the reporter on this story: Adriana Arai in Sao Paulo at

To contact the editor responsible for this story: Helder Marinho at

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.