Country Reports on Terrorism 2012 - Brazil

Overview: The Brazilian government continued to support counterterrorism-related activities, including investigating potential terrorist financing and document forgery networks. Operationally, security forces of the Brazilian government worked with U.S. law enforcement and financial agencies regarding terrorist suspects. Brazil's security services have sought to address concerns that terrorists could exploit Brazilian territory to support and facilitate terrorist attacks, whether domestically or abroad, focusing their efforts in the areas of Sao Paulo; the tri-border areas (TBAs) of Brazil, Argentina, and Paraguay; Brazil, Peru, and Colombia; and the Colombian and Venezuelan borders. In preparation for hosting the 2014 World Cup and 2016 Olympic Games, the Government of Brazil created the Special Secretariat for Security for Great Events.

Legislation, Law Enforcement, and Border Security: In 2012, the Chamber of Deputies considered two counterterrorism bills pending in committee; one would deny visas to persons convicted or accused of a terrorist act in another country, and the other would provide the ability to prevent, investigate, and prosecute terrorist organizations. Since 2009, Brazilian authorities have worked with other concerned nations, particularly the United States, in combating document fraud. Since 2009, multiple regional and international joint operations with U.S. authorities successfully disrupted a number of document vendors and facilitators.

The work of the U.S.-Brazil Container Security Initiative (CSI) in Santos continued throughout 2012, as it has since its inception in 2005. The CSI was created to promote secure containerized cargo to the United States by co-locating CBP personnel overseas to work with a foreign customs administration to detect high risk cargo.

The Brazilian government continued to invest in border and law enforcement infrastructure and has worked to undertake new initiatives to control the flow of goods – legal and illegal – through the TBA of Brazil, Argentina, and Paraguay.

In light of Brazil's plans to host the upcoming 2014 World Cup and the 2016 Olympic Games, a key focus for the Department of State's 2012 Antiterrorism Assistance program in Brazil was major event security management. Additional strategic objectives for the program were to help Brazil build law enforcement capacity to secure land, air, and maritime borders, and to conduct terrorism-related investigations.

Countering Terrorist Finance: Brazil is a member of the Financial Action Task Force (FATF) and is also a member of the Grupo de Acción Financiera de Sudamérica (FSRB), a FATF-style regional body. Brazil gives FATF recommendations high priority and has created a working group chaired by the Ministry of Justice to incorporate these recommendations into legislation and regulation. Brazil sought to play an active leadership role in the FSRB and has offered technical assistance to Argentina to implement FATF recommendations.

Brazil monitored domestic financial operations and effectively used its Financial Intelligence Unit, the COAF, to identify possible funding sources for terrorist groups. Terrorist financing is not an autonomous offense in Brazil, but it is a predicate offense to money laundering. COAF does not have the authority to unilaterally freeze assets without a court order. The FATF has recommended that COAF create a standard operating procedure for freezing funds, which COAF has prioritized but not yet completed.

Through COAF, which is a largely independent entity within the Finance Ministry (Fazenda), Brazil has carried out name checks for persons and entities on the UNSC 1267/1989 and 1988 Sanctions Committees' consolidated lists, but it has so far not reported any assets, accounts, or property in the names of persons or entities on the UN lists. The Brazilian government has generally responded to U.S. efforts to identify and block terrorist-related funds. For further information on money laundering and financial crimes, we refer you to the 2013 International Narcotics Control Strategy Report (INCSR), Volume 2, Money Laundering and Financial Crimes: http://www.state.gov/j/inl/rls/nrcrpt/index.htm.

Regional and International Cooperation: Brazil's intelligence and law enforcement forces work with regional and international partners. Brazil participates in regional counterterrorism fora such as the OAS Inter-American Committee Against Terrorism. Brazil is involved in the Union of South American Nations and Mercosur's working group on terrorism and the sub-working group on financial issues, the latter of which discusses terrorist financing and money laundering among the Mercosur countries.