Brazil's Federal Police seized roughly R$ 990,000 in cash, plus US$ 10,000 and € 1,255, while executing search and seizure warrants in Operacao Dinastia do Lago on Wednesday (16). The operation investigates suspected fraud in public contracts in Coari, a city in the interior of Amazonas state, and among its main targets are federal Congressman Adail Filho (MDB) and his father, Mayor Adail Pinheiro (Republicans). Both are investigated parties and have not been charged.
In Manaus, federal agents seized R$ 352,750, US$ 10,000 and € 1,255, along with 11 cars at addresses linked to the investigated parties, including the congressman's residence. In Coari, the police found about R$ 637,750 and 10 more vehicles, bringing seized cars to 21. Images released by the force also show watches and jewelry among the items collected, with no estimated value disclosed. According to news site Congresso em Foco, 29 warrants were served across the two cities.
What the operation investigates
According to the Federal Police, the inquiry points to possible coordinated action among businessmen, public officials and third parties, with suspected bid rigging, embezzlement of public funds and financial movements to pay undue advantages and to hide the origin and final recipients of the money. The facts could amount, in theory, to corruption, money laundering, bid fraud, embezzlement (peculato) and criminal organization. By order of Supreme Federal Court (STF) Justice Alexandre de Moraes, Adail Pinheiro, who is serving his fourth term as mayor according to Congresso em Foco, and municipal secretaries were removed from office for 90 days. Adail Filho was targeted by search and seizure warrants but keeps his seat in the lower house of Congress; because he is a sitting federal lawmaker, his case runs at the STF, Brazil's highest court.
How the case began
The operation is an offshoot of an inquiry opened at the STF by Moraes at the request of the Attorney General's Office (PGR). The investigation started after three businessmen, Cesar de Jesus Gloria Albuquerque, Erick Pinto Saraiva and Wagner Santos Moutinho, were caught in flagrante at Brasilia airport in May 2025. They were carrying about R$ 1.25 million in cash on a flight from Manaus to Brasilia and could not show proof of its origin at the time.
Documents and electronic devices collected were analyzed under court authorization and, according to the case file, pointed to suspicious financial movements, companies linked to the investigated parties holding contracts with the Coari city government, and transfers of congressional budget earmarks (emendas parlamentares, funds lawmakers direct to specific municipalities) sent to the city in 2024 and 2025. On June 24, 2026, Moraes extended the investigation by 60 days at the Federal Police's request, citing the complexity of the facts and the number of people and companies involved. In one of his rulings, the justice wrote:
"On the same occasion, documents and electronic devices were seized which, after court-authorized analysis, revealed financial transfers by legal entities linked to the investigated parties for the benefit of Federal Deputy Adail Filho and his father, Manoel Adail, mayor of the Municipality of Coari/AM."
The defense of Adail Pinheiro and Adail Filho said it received the warrants "with surprise". Lawyer Fabricio de Melo Parente called the mayor's removal "unnecessary" and said he will file the appropriate measures after gaining access to the investigation files. According to the lawyers, the searches imply neither guilt nor acknowledgment of any crime, and the investigated parties have no connection to the facts that gave rise to the inquiry. G1 reported it is still trying to locate the defense of the three businessmen arrested in 2025. The next step is the Federal Police's analysis of the money, vehicles and documents seized on Wednesday, which could support formal charges to be reported to the STF, while the mayor's removal stands for 90 days.