Prosecutor rejects São Paulo appeal, maintains reckless management investigation

The Superior Council of the Public Prosecutor's Office of São Paulo has decided not to hear the appeal presented by São Paulo against the opening of a civil inquiry investigating potential reckless management by the current board. The decision, signed by councilor Patrícia Moraes Aude, was reached because the appeal was filed after the legal five-day deadline had expired.

While the merits of the appeal were not analyzed, the Council determined that the inquiry must proceed. According to the decision, there are sufficient elements to justify continuing investigations into suspicions of reckless management, which include concerns over elevated debt levels, athlete negotiations, third-party contracts, potential conflicts of interest, and impacts on collective interests.

In its defense, the club argued that as a private association, it does not manage public funds, and therefore, the Public Property Prosecutor's Office lacked the jurisdiction to conduct the investigation. However, the ruling highlights that the autonomy of sports organizations does not prevent intervention by the Public Prosecutor's Office when there are signs of harm to diffuse or collective interests and social heritage.

The investigation is mandated to remain strictly within the scope defined in the initial order, avoiding expansion into internal club matters that lack a direct connection to the facts under scrutiny. The decision also notes that the case could potentially be resolved through a Conduct Adjustment Agreement (TAC) if the club commits to improving its transparency, governance, and practices.