Ultrafarma Founder Arrested in São Paulo Corruption Probe
Business 9 days ago
Sidney Oliveira, the 71-year-old founder of Ultrafarma, was arrested in Santa Isabel, São Paulo, as part of a major corruption investigation. The operation, led by the São Paulo Public Ministry, aims to dismantle a scheme involving tax auditors accused of manipulating tax credit processes for bribes. Oliveira, who grew up in poverty in Nova Olímpia, Paraná, built Ultrafarma into one of Brazil’s largest pharmacy chains, known for its e-commerce dominance and generic drug sales.
The investigation revealed a criminal group allegedly facilitating tax fraud for retail companies, with bribes totaling around R$1 billion since 2021. A high-ranking tax auditor and Fast Shop’s statutory director were also arrested. Ultrafarma, which boasts over 1 million active customers, has not commented on the case. Oliveira, a self-made entrepreneur, had previously supported São Paulo’s mayor for his ’commitment to healthcare improvements.’
Authorities conducted months of investigative work, including document analysis and wiretaps, before making the arrests. Those involved may face charges for active and passive corruption, criminal organization, and money laundering. The operation underscores growing scrutiny of corporate fraud in Brazil’s retail and pharmaceutical sectors.