The arrest of one of Brazil’s richest men has sent shares in his bank tumbling.
André Esteves was completing his first day in jail on Thursday after being accused of obstructing an investigation corruption at the state oil company, Petrobras, part of the country’s ongoing Operation Carwash probe.
Esteves denies all the accusations.
Shares in his BTG Pactual bank dipped 21 percent Wednesday on the Sao Paulo stock market. Esteves’ net worth, has also gone on a roller coaster ride losing as much as $488 million in the morning but recouping some of it back this afternoon.
Most of the billionaire’s $2.1 billion fortune comes from his stake in the Brazilian asset manager Pactual, which boasted some $200 billion in assets under management last year. Today, mostly thanks to the falling Brazilian Real, the company has some $57 billion in assets under management, Forbes magazine reports.
Analyst Silvio Campos Neto says the impact of the investigations could be felt in every business related to BTG Pactual.