In a sweeping international crackdown, Italian authorities arrested four individuals in Palermo on allegations of mafia-linked offenses, including extortion and money laundering. The operation, supported by the European Union’s Eurojust agency, uncovered a vast scheme funneling illicit funds from Italy to Brazil.
Investigators believe the main suspect created several companies in Brazil using fake owners and shell corporations to launder proceeds from Cosa Nostra’s criminal operations. The money originated from repeated extortions of business owners in Palermo, said the Guardia di Finanza. These funds were moved through complex financial channels, often passing through foreign bank accounts, to conceal their origins.
The crimes were made more severe by their connection to major mafia families, authorities noted. The operation led to the seizure of nine companies—mostly in real estate and hospitality—located in Brazil, Italy, Switzerland, and Hong Kong. Police also confiscated over 350,000 euros (about $383,770). Early estimates place the total value of the businesses managed by the defendants, with help from front men, at more than 500 million euros ($548 million).
The Guardia di Finanza said the investigation reached a breakthrough when it linked a former leader of Palermo’s Pagliarelli district to the scheme. With help from an entrepreneur and professionals from northern Italy, this figure launched profitable ventures in Brazil using money from Cosa Nostra’s illicit activities. Italian officials described the action as the peak of a complex probe into the shared interests of top Palermo mafia figures in corporate structures both in Italy and abroad, especially in Brazil.
Eurojust supported the effort, which followed two years of investigations. An earlier operation in August led to the arrest of a mafia family member and the freezing of assets worth 50 million euros ($54.77 million).