Wesley Batista, CEO of JBS SA, the parent company of JBS USA, has been suspended from his management position by court order, according to multiple news reports. The suspension, according to a Brazilian prosecutor, stems from a fraud investigation and applies to all of Batista’s jobs. It also affects Joesley Batista, Wesley’s brothers and chairman of JBS, reports the Denver Post.
Wesley Batista was detained by police for questioning in São Paulo on Monday as part of the probe of alleged fraud at some of Brazil’s biggest pension funds. Joesley Batista wasn’t questioned because he was out of the country.
There is no indication JBS is in any way involved in the alleged fraud, but the holding company that controls the beef producer also controls a paper pulp producer called Eldorado Brasil SA that is one of the targets of the probe.
According to Global Meat News, JBS said it had been made aware, via reports in the press, that a ruling of a judge’s decision which could render the billionaire Batista brothers suspended from their positions within JBS.
“The company did not have formal access to the full content of the judge’s decision and its extension,” JBS said in a statement on 6 September. “JBS legal advisors are acting to get complete access to the proceedings and the mentioned decision, as well as its repercussion to the company.”