Brazil's National Council of Justice (CNJ) has suspended the bankruptcy proceedings of Banco Santos, effectively halting a case that has been active for more than two decades.
The judicial oversight body also removed the court-appointed administrator, citing suspected opacity in the management of the estate.
All ongoing asset sales and creditor payouts have been frozen pending further review.
The move underscores persistent governance challenges in Brazil's long-tail insolvency cases.
By stepping in, the CNJ signals a tightening of oversight on judicial processes that have dragged on for years without resolution.
For creditors and investors tracking the Banco Santos estate, the suspension introduces immediate uncertainty regarding the timeline for any potential recovery.